Common workers' compensation settlements are lump-sum and structured settlements, notes the DisabilitySecrets website. In a lump-sum settlement, certain rights are signed away in exchange for a one-time, lump-sum settlement while a structured settlement features payments made in smaller increments during a pre-determined time frame. The value of a settlement depends on the seriousness or permanence of the injury and other extenuating factors determined on a case-by-case basis.
Workers' compensation is state regulated and implemented, reports the Social Security Administration. A settlement is a guaranteed benefit to compensate for an injury. The common workers' compensation settlements, lump-sum and structured, or litigation are options in a workers' compensation claim.
A settlement is a guarantee of benefit. If further complications, surgeries or expenses are incurred due to the injury, it may not be covered if the claimant signed away the right to future medical treatment in exchange for a settlement.
Since The Workers' Compensation Program is regulated by the state, each state's compensation law may vary. Some states do not offer settlements until a certain stage of the process. Others do not allow settlements regarding medical benefits. An attorney in the area where the claim is filed is the best option to help determine settlement options and can advise on whether to settle a claim, notes DisabilitySecrets.