If you take the lump sum settlement in a worker's compensation case, how is the money paid to you? Plus Medi-care set aside.

Asked over 2 years ago - Newport Beach, CA

If you take the lump sum settlement in a worker's compensation case, how is the money paid to you? Are you given a lump sum or are you paid a certain amount weekly, bi-weekly until money is paid out to you. The lump sum settlement is is used to pay 15%-20% attorney's fees, any liens against you from medical facilities and pharmacy's, you repay 50% of any long term or short term disability payment you received during your injury, you also repay any Medi-care you received from Social Security, you repay Medi-care for your plan D prescription plan medication you received while on disability. Is there any thing else you are suppose to pay?

Attorney answers (4)

  1. Michael Douglas Goforth

    Contributor Level 13


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    Answered . If you settle your entire case by Compromise and Release, the IC will send you a lump sum, less 15% which is sent to your attorney. In the C&R the IC generally pays medical liens, however depending on your case you may be obligated to reimberse certain benefits that you have received. This should all be spelled out in the terms of the settlement. You should therefore carefully review the terms of your C&R settlement with your attorney or the assigned judge if you do not have an attorney.n

  2. George Ellis Corson IV

    Contributor Level 20


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    Answered . Lump sum means one net payment. You receive +/- 85% of the gross, and your attorney gets a separate check for his 15% or so. As for any other deductions, you should discuss that with your Attorney (who is getting 15% of your money). Each case is different.

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  3. Brian S Wayson

    Contributor Level 19


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    Answered . If your injuries have kept or are expected to keep you out of work for 12 months or more, I sure hope you also applied for Social Security Disability benefits. If you have or if you do, please be sure to let your WC attorney so the WC settlement can be written to minimize the offset against your Social Security Disability benefits.

    Best of luck to you.

    Disclaimer Information on this site is provided by Brian Scott Wayson as general information, not legal advice,... more
  4. Craig Stephen Wasserman

    Contributor Level 7


    Lawyer agrees

    Answered . Settling a case by way of a lump sum when Medicare is involved is complicated. With my office it takes a good hour consult to explain the prices when a MSA is involved, as well as, social security benefits

    While I'm in OC I represent injured workers from Ventura to San Diego. You can call my office (714) 799-0543 or email me at wasslaw@sbcglobal.net for more information. Consultations are free and to retain my office does not require any payment until the case is settled

    Craig Wasserman, Esq

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