When are permanent disability benefits paid?
After the employee has been released from medical treatment and is able to return to work, if the medical evidence indicates that the employee has suffered permanent disability due to the injury, the employee is entitled to payment for the degree of permanent disability sustained.
The employer/insurer may offer payment in a one time lump sum, or over a period of weeks. A lump sum settlement must be approved by the court in order to be binding on the parties and terminate the employee's right to any further benefits. A settlement may provide for payment of future medical expenses incurred by the employee if all the parties agree. If permanent disability benefits are paid over a number of weeks without a lump sum settlement, a claim for benefits due to increased disability or further medical treatment may be made at any time within two years of the date of last payment of compensation.