If you’ve ever worked for a company with workers’ compensation insurance, you probably already know how helpful it can be. Even though the program has a lot of benefits, the main focus is on how much compensation you can expect if you get hurt and can’t work. Someone who has been hurt and doesn’t know how they will pay their bills needs to know what income replacement insurance they will get. This article will tell you the four most important things you need to know about replacing lost income and how Workers’ Compensation insurance works.
What is income replacement insurance?
Workers’ compensation is crucial because it helps replace lost income. Income replacement insurance provided through Workers’ comp helps workers who get hurt on the job pay their bills while they can’t work.
Income replacement insurance can be paid all at once in lump sums or over time. They can get used to paying their mortgage, rent, utilities, and other essential bills.
Workers must have a valid workers’ compensation claim to get benefits that replace their income. They also have to prove that their injuries have cost them money.
There are limits on how much a worker can get in benefits to replace lost income. The amount is based on how much the worker makes and where they live.
Statistics from the U.S. Department of Labor show that about 3 million workers filed for workers’ compensation in 2016. About 2.5 million of these workers got benefits to replace their income.
The average weekly income replacement insurance benefit for workers was $1,064. The average amount of help was $747. It means that half of the workers who got gifts to replace their income got less than $747 a week, and the other half got more than $747 a week.
Types of income replacement insurance in Workers’ Comp
Four main types of income replacement insurance benefits are available through workers’ compensation insurance. These include:
Temporary total disability (TTD) benefits are given to employees who are hurt or sick and can’t work. The worker’s average weekly wage is used to figure out these benefits.
Temporary partial disability (TPD) benefits are given to workers who can return to work but can’t make their total wages because of an illness or injury. These benefits are based on how much more or less an employee makes than their average weekly wage.
Permanent total disability (PTD) benefits are given to workers who can never work again because of a permanent disability. The worker’s average weekly wage is used to figure out these benefits.
Permanent Partial Disability (PPD) benefits are given to workers who have a permanent disability but can still return to work. These benefits depend on how bad the disability is and how much the worker makes on average each week.
What are the top four tips to ensure you have the proper income replacement insurance plan through workers’ comp?
1. Make sure you know all the benefits available to you through workers’ compensation. These benefits can include income replacement insurance, medical expenses, and death benefits.
2. Make sure you have a solid understanding of your rights and responsibilities under workers’ compensation. You should know what coverage you are entitled to and how to file a claim if you need to.
3. It is essential to have a plan in place in case you are injured. This plan should include who to contact for help, what type of medical treatment you need, and how you will pay for your living expenses while you cannot work.
4. Be sure to keep accurate records of your injuries and any medical treatment you receive. If you need to file a claim or appeal a decision made by the workers’ compensation insurance company, you will need this paperwork.
Contact Us At San Gabriel Workers’ Comp Attorneys
You may be entitled to benefits even if you cannot return to work immediately. Under California law, injured workers are entitled to two-thirds of their average weekly wage, up to a maximum amount, for as long as they cannot return to work. If you have been injured in a workplace accident, contact us today to find out if you are eligible for income replacement insurance benefits.
At San Gabriel Workers’ Comp Attorneys, we have been helping injured workers get the income replacement insurance benefits they deserve for over 25 years. We will fight to bring you the maximum amount of benefits you are entitled to under the law. Give us a call at 626-602-9483 to book your free initial consultation.