Workers’ Compensation Settlements in North Carolina: What You Need to Know

At the Ramsay Law Firm, P.A., our Charlotte workers’ compensation attorneys have over 60 years of combined experience handling all North Carolina workers’ compensation cases, including helping workers file initial claims, responding to claim disputes, representing them in hearings, and negotiating settlements. A North Carolina worker may agree to a workers’ compensation settlement for several reasons and under specific circumstances. A settlement provides a definitive end to the workers’ compensation process, offering financial certainty and allowing the worker to move on without the ongoing stress of a pending claim.

This allows immediate access to funds for medical expenses, lost wages, and other financial needs. It can be particularly beneficial for those facing significant bills or life changes due to injury. Having a workers’ compensation attorney help negotiate a benefits settlement package is crucial because they bring specialized knowledge and experience to ensure you receive a fair and comprehensive settlement.

Our Charlotte workers’ compensation attorneys understand the complexities of North Carolina workers’ compensation laws. They can accurately evaluate the actual value of your claim, including future medical expenses, lost wages, and potential long-term impacts. They can effectively navigate negotiations with insurance companies, who often aim to minimize payouts and advocate on your behalf to secure the best possible outcome.
We will also ensure that all legal procedures are correctly followed, reducing the risk of errors that could delay or jeopardize our client’s settlement.

What are the Different Types of Workers’ Compensation Settlements in North Carolina?

Navigating workers’ compensation settlements in North Carolina involves understanding several vital aspects that can impact the outcome of your claim. This starts with understanding the different types of workers’ compensation settlements.

They include:

• Compromise Settlement Agreement (CSA)

Also known as a “clincher” agreement, this type of settlement involves a lump-sum payment to the injured worker. The worker typically waives the right to any future workers’ compensation benefits related to the injury, including medical expenses and disability benefits.

CSAs provide immediate financial relief and finality, allowing the worker to move on without the ongoing involvement of the workers’ compensation system. This type of settlement benefits those who prefer a one-time payment over periodic benefits and want to avoid future disputes or litigation.

• Form 26A Settlement

Form 26A is used for settling cases involving permanent partial disability (PPD). This settlement outlines the specific disability rating assigned to the injured worker and calculates the corresponding compensation based on that rating.

Unlike CSAs, Form 26A settlements may not involve a complete waiver of future medical benefits, meaning the worker can still receive medical treatment for the injury under workers’ compensation. This type of settlement benefits workers who have reached maximum medical improvement (MMI) and have a defined permanent impairment but may still require ongoing medical care.

Each settlement type has its advantages and considerations, and the best option depends on the individual circumstances of the worker’s injury, medical needs, and financial situation.

How are Settlements Negotiated Between Attorneys and Workers’ Compensation Insurers?

Settlements between attorneys and workers’ compensation insurers in North Carolina are negotiated through a detailed and often multi-step process to reach a fair agreement for the injured worker.

First, the injured worker’s attorney thoroughly reviews the case, including medical records, accident reports, and any relevant documentation. This helps us understand the full extent of the injury, associated costs, and potential future medical needs. During this phase, we may also consult with medical experts, vocational rehabilitation specialists, and other professionals to strengthen the case and ensure all aspects of the injury and its impact are considered.

Settlement negotiations can start with a demand letter or during a mediated settlement conference. Either way, the process includes:

• Drafting a demand letter or presentation to the workers’ compensation insurer outlining the details of the injury, medical treatment received, and a proposed settlement amount or demand. The demand serves as the starting point for negotiations.
• The insurance company reviews the demand letter and either agrees to the proposed settlement, makes a counteroffer, or denies the claim. If a counteroffer is made, it usually includes a lower settlement amount, which opens the door for further negotiations.
• Both parties negotiate, with our attorneys advocating for the injured worker’s best interests. This involves presenting evidence, negotiating terms, and possibly providing additional documentation to justify the requested settlement amount.
• Once both sides agree on the terms, the settlement agreement is drafted. This document outlines the settlement amount, payment terms, and any conditions, such as the waiver of future medical benefits (in the case of a Compromise Settlement Agreement).

The finalized settlement agreement is submitted to the North Carolina Industrial Commission for approval. The Commission reviews the settlement to ensure it is fair and in the injured worker’s best interest. Once the Commission approves the settlement, the agreed-upon funds are disbursed to the injured worker. Depending on the settlement terms, this may be a lump-sum or structured payment.

By understanding these critical elements, you can better navigate the workers’ compensation settlement process in North Carolina and ensure that you secure a fair and comprehensive agreement that addresses all your needs related to the injury. We can help, starting with a free consultation.

Have You Been Injured at Work in North Carolina?

Our dedicated Mecklenburg County workers’ compensation law firm provides free consultations to all employees who have suffered a workplace injury in North Carolina by calling 704-376-1616 or contacting us online.

 A Voice For The Injured.  Here Every Step of The Way.