Given that your job has a workers’ compensation benefits program, you may assume it is yours to take after being made the victim of a workplace accident. However, you may hesitate to recover these benefits if you actively seek financial compensation in a third-party claim. Well, for this, please follow along to find out what happens to your workers’ compensation award after filing and winning a third-party claim and how a proficient Tampa work injury lawyer at Merricks Law Group, P.A. can help you navigate this situation in the best way possible.
What happens to my workers’ compensation award after a third-party claim?
You may find it most appropriate to file a claim against the third party, someone other than your employer, whose negligence caused your workplace accident and subsequent injuries to transpire. However, after you receive a settlement offer or final judgment, your employer or their insurer may have the right to intervene given subrogation. That is, subrogation allows them to place a lien on your settlement or judgment to get reimbursed for the workers’ compensation benefits they have distributed to you thus far.
For example, say that you settle for or win $25,000 in your third-party claim. Then, say that your employer or their insurer has already covered $10,000 worth of your medical bills and lost wages through their workers’ compensation benefits program. Well, they may take these $10,000 and leave you to collect $15,000. Or, you may collect the full $25,000, but then they may take $10,000 away from your potential future workers’ compensation claims.
Why does my employer or their insurer intervene in this way?
Essentially, when you take action with a third-party claim, you are stating that someone other than your employer was at fault for your workplace accident event. Therefore, your employer or their insurer should not be held financially liable for your incurred injuries and damages. The only party that should incur a financial loss is the negligent third party. At the same time, you should not receive double recovery for a single injury or incident. In a nutshell, this is why the concept of subrogation exists.
Do I have to send notice about my third-party claim?
It is not worth avoiding your employer’s or their insurer’s intervention in your third-party claim. Instead, you should do the right thing and file a notice of claim with them, disclosing your intent to seek recovery through this legal action. In short, if you fail to do so, it may be more difficult to negotiate the total amount they want to be reimbursed. That is, they may be less sympathetic toward considering your incurred legal fees or less likely to agree to pro-rate this amount to your potential future workers’ compensation claim.
What’s more, your employer or their insurer may help you with your claim proceedings if you allow them to help. Specifically, they may be more willing to help you gather the relevant medical, billing, employment, wage, and accident report records. After all, you are essentially working for the same cause; to not be held financially responsible for an incident due to no fault of your own.
All of this to say, you must be fully equipped to enter your upcoming third-party claim proceedings and potential subrogation actions. Your preparation is not complete without hiring a talented Pasco County personal injury lawyer. Contact Merricks Law Group, P.A. today.
