Children are paid until 18,
or age 23, if qualified
Permanent total awards and payments to widows are subject to 10(f) COLA every October 1 (subject to 5% cap)
Worst case: payment of compensation will be made until claimant’s death (except temporary partial limited to 5 years –rarely seen)
Settlement should also consider value/need for future medical treatment Role of Medicare/need for CMS Approval Are there other lien holders that must be considered?
Search for alternative sources of payment to claimant
Special Fund
- Can be settled either before or after case is in Fund
- Section 44 assessment lowers benefit of putting case in Fund and provides reason to remove case from Fund by way of settlement
Social Security -
May be able to reverse the offset taken by Social Security
Third-party recoveries
Waive all or part of lien to leverage settlement
Access to other sources of medical care/income/employment
WHERE IS THE BEST PLACE TO LEARN EFFECTIVE NEGOTIATION TECHNIQUES?
Scheduled awards:
- Payment of compensation based on “schedule” found at § 908(c) (e.g., a leg is 288 weeks)
- Payment is made based on percentage of impairment as determined by AMA Guides to Permanent Impairment (6th Ed.)(not mandatory)
- Possible role of “non-scheduled” injuries like back or psychological overlay
- Employer must show residual wage-earning capacity (“PEPCO”)
Consider AWW/Comp. and effect of suitable alternative employment (“SAE”) If maximum rate case, SAE may not move rate much
Use aggressive discount rate of at least 5% to 8%
SETTLEMENT CONSIDERATIONS
It takes experience and practice to negotiate the
right settlement and make the best deal, so....
BOURBON STREET!!!