Should I Take a Workers’ Comp Settlement in Alabama?

At some point during an Alabama workers’ compensation case, many injured workers face an important question: Should I settle my case?

It’s tempting to turn that question into another one: How much money can I get?

The amount of a settlement certainly matters. But it should not be the only consideration. A good workers’ compensation settlement is not necessarily the one with the largest check. A good settlement is one you understand—including exactly what you are receiving and exactly what you are giving up.

That distinction matters because a workers’ compensation settlement can affect much more than the money deposited into your bank account.

If you’re considering settling your workers’ comp claim in Alabama, reach out to the experienced Birmingham work injury lawyers at Nomberg Law Firm. 

We can go over the details of the settlement with you, explain the potential tradeoffs, and help you determine whether it makes sense for your circumstances and future needs.

What am I receiving from my workers’ comp settlement?

A settlement may include compensation for some or all of the benefits that could otherwise be available through your workers’ compensation claim. Depending on the circumstances, that may involve disability benefits, future medical treatment, or other disputed benefits.

Before agreeing to settle, you should be able to answer these basic questions.

How much will I actually receive?

The headline settlement number and the amount you ultimately receive may not be the same. Attorney fees, litigation expenses, medical issues, liens, or other obligations may need to be addressed.

What happens to my future medical care?

This can be one of the most important parts of the decision. If future medical benefits are being closed, you need to understand who will pay for treatment related to your injury after the settlement.

Are there Medicare considerations?

For some injured workers, Medicare’s interests must be considered when resolving future medical benefits. The way settlement funds are allocated and handled may matter long after the case is over.

What am I giving up with my workers’ comp settlement?

Keep in mind that every settlement involves an exchange. You receive something of value in return for giving up certain rights.

The important question is: Which rights?

Depending on the terms of the agreement, you may be giving up the right to additional workers’ compensation benefits, future medical treatment, or the ability to return to court if your condition worsens.

That does not necessarily make settlement a bad choice. In many cases, settlement provides certainty and allows an injured worker to move forward without continuing litigation. But certainty has value only when you understand the tradeoff.

Consider an injured worker who receives a larger settlement by closing future medical benefits. That may sound better than a smaller settlement that leaves medical treatment open. 

But if that worker later needs surgery, injections, medication, or other significant treatment, the larger check may not ultimately be the better deal.

The reverse can also be true. An injured worker may prefer to resolve everything, take control of future decisions, and end the workers’ compensation relationship entirely.

There is no single answer that fits everyone.

Ask yourself what life looks like after the settlement

One of the best ways to evaluate a settlement is to look beyond the day the check arrives.

Ask yourself:

• What medical treatment are you likely to need in the next 5 or 10 years? 
• Can you return to your former job? 
• Has the injury affected your ability to earn a living?
• Do you have other health insurance? 
• Are you comfortable assuming responsibility for future medical expenses? 
• What happens if your condition becomes worse?

These questions can be more important than simply asking whether another few thousand dollars can be added to the settlement.

Understanding the deal is part of the deal

An injured worker should never feel pressured to settle simply because an offer has been made. Likewise, rejecting a reasonable settlement simply because you hope for a larger number is not always the best decision.

Settlement is ultimately about evaluating risk, certainty, future needs, and the rights being exchanged.

Before signing anything, you should be able to explain the agreement in your own words:

• This is what I am receiving. 
• These are the benefits I am keeping. 
• These are the rights I am giving up. 
• This is why the settlement makes sense for me.

If you cannot do that, you may not yet have enough information to make the decision, or you may benefit from having an experienced workers’ compensation attorney go over the terms of the settlement with you.

The goal should not simply be to get the biggest workers’ compensation settlement. The goal should be to make an informed decision that still makes sense after the settlement check is gone.

Unsure if you should accept a workers’ comp settlement in Alabama? Nomberg Law Firm can help.

Like any settlement or legal contract, a workers’ compensation settlement can have a lot of moving parts. The language matters, the details matter, and seemingly small provisions can have consequences long after the agreement is signed.

At Nomberg Law Firm, our experienced Birmingham workers’ compensation attorneys can review your settlement, explain the terms in plain language, identify issues you may not have considered, and handle negotiations if the offer does not fairly account for your current and future needs.

If you have been offered a workers’ comp settlement in Alabama or are considering negotiating one, contact Nomberg Law Firm today for a free consultation to discuss your case and legal options.