Why Would You Have To Pay Back Workers’ Comp Benefits?

There are a few reasons why you might have to pay back workers’ comp benefits. Our workers’ compensation lawyers will detail those reasons below. We can also help you fight to keep your benefits.

Insurance Company Discovers You Are Ineligible for Workers’ Compensation After It Has Already Paid You Some Benefits

The insurance company may claim that your injury did not actually occur on the job as it originally thought. This would make you ineligible for benefits. 

You Caused Your Workplace Accident or Illness

The workers’ compensation system is no-fault, meaning your negligence doesn’t affect your ability to recover workers’ compensation benefits. However, some situations make you ineligible for benefits. These include:

• You injured yourself on purpose. 
• You were intoxicated when the accident and injury occurred.
• You were engaged in horseplay when the accident and injury occurred.

If any of these apply in your situation (or the insurer claims they do), you could have to pay back your workers’ compensation benefits.

The Workers’ Compensation Insurer Claims It Rated Your Permanent Disability Too High

For permanent disabilities, an injury receives a disability rating that determines the amount of benefits a person receives. In some cases, the insurance company may claim that it rated your permanent disability too high and may require you to pay back your benefits. 

Our team can help establish that your disability is rated accurately, and as such, you owe the workers’ compensation insurer nothing. 

You Did Not Return to Work When You Were Able To

If the insurer determines that you waited a month or two to return to work after you were able to, you will likely need to pay back the disability benefits you received. In some cases, people are cleared to work but don’t feel ready. If this is the case with you, get a second opinion. If you simply ignore your doctor’s clearance and don’t return to work, you could end up owing your employer’s insurance company thousands of dollars.

The Insurer Overpaid You

In some cases, the insurance company might overpay you due to a glitch, mistake, or error. It’s important to let your employer know if this happens. They can help you determine whether you need to pay it back. That way, you can avoid needing to pay it back later after you’ve already used the funds. 

Offsets Were Not Applied In Your Situation

If you are receiving disability benefits or compensation from other sources and your workers’ compensation benefits were not deducted (an offset), you may need to pay part of your workers’ comp benefits back.

You Obtained a Settlement from a Third-Party Claim 

In order to receive workers’ compensation benefits, you give up your right to sue your employer. However, you may be able to sue another party who caused or contributed to your injury. If your case is successful (and covers the entirety of your damages), the insurance company can subrogate part of your claim. This means it can recover the benefits it paid you from your personal injury claim compensation.

It can be difficult to determine what can be subrogated from a third-party claim, but our team can help clear things up. We can also ensure the insurance company doesn’t take advantage of you or take more than it gave you. 

What Can I Do if I Receive Notice That I Need to Pay Back My Workers’ Compensation Benefits?

We know how scary it can be to receive notice that you need to pay back some or all of the benefits that have been keeping you afloat for the past few weeks or months. This is especially true if you’ve already used those benefits to keep the lights on or put food in your fridge. However, you don’t need to panic. You aren’t handling this alone.

Our team can fight your employer or their insurer or help you identify your other options for obtaining compensation or benefits. We can establish that you don’t need to pay back your workers’ compensation benefits (or just need to pay back a small portion). 

How we approach your case depends on the specifics of your situation. However, you can rest assured that our team is dedicated to you and your case. You aren’t just a number to us. We limit how many cases we take on so we can give you and your case the attention you deserve. You also work directly with your attorney, not a middleman who limits your access and the information you get.

I Might Already Have to Pay Back My Workers’ Comp Benefits, How Am I Supposed to Afford Legal Help?

Our team handles workers’ compensation cases on a contingency-fee basis. This means you pay us nothing upfront—no retainers, no hourly fees—and don’t pay for our time unless we win your case. There is no risk when you work with our team. This also means that you can be sure we’re dedicated to the outcome of your case. 

We will go over our fee schedule so you’ll know what to expect. You’ve had enough surprise bills; you don’t need another one.

Our Team Can Help You If You Have to Pay Back Your Workers’ Comp Benefits

This is a frustrating situation, but you don’t have to handle it alone. Our workers’ compensation attorneys can help you determine whether you do need to pay back your benefits and, if so, how much. If we believe this is incorrect, we’ll fight to ensure you keep the benefits you need to keep your head above water. 

We have years of experience handling workers’ compensation cases and will fight to ensure you can keep the benefits you and your family need.

Call KJT Law Group today to get started with a free consultation. We can help in English, Spanish, and Armenian. Remember that you get our help with no upfront fees.