Workers’ Compensation Benefits Introduction to the Workers’ Compensation Program The purpose of this section is to provide information on the Workers’ Compensation Program, and in particular, the impact of Workers’ Compensation benefits, as well as other public disability benefits (PDB), on Social Security Disability Insurance (SSDI) and SSI. It’s important to identify general provisions of the Workers’ Compensation Program that are common across states. First, under the Workers’ Compensation Program, states authorize benefits for accidental, job-related injury. Employees are entitled to Workers’ Compensation benefits from the business only when they suffer a personal injury that arises out of an accident they incurred on the job. The injury or illness must not be or caused by intoxication or substance abuse. If it’s self-inflicted, or caused by intoxication or substance abuse, the individual won’t be eligible for a Workers’ Compensation benefit. Secondly, the types of Workers’ Compensation benefits employers provide include partial replacement of the individual’s lost wages as well as payment for medical costs and death benefits. Third, each state defines the covered businesses as well as the types of jobs that are covered under the Workers’ Compensation Program. In other words, for businesses, the Workers’ Compensation Program essentially limits their liability for on-the-job injury or illness to the remedies and benefits that are available to the individual under the workers’ compensation statutes in their particular state. It’s important to keep in mind, however, that while employees generally give up their right to sue their employer, they still retain the right to sue negligent third parties. If a third party is liable for the illness or injury, the proceeds from those lawsuits reimburse the business for benefits that they paid to the injured worker. Public Disability Benefits (PDB) Other than Workers’ Compensation A Public Disability Benefit or PDB as defined by Social Security is a benefit employers pay a federal, state, or local law or plan to workers for temporary or permanent disabilities. PDBs usually are not based on a work- related injury or illness and may be in the form of periodic
Workers’ Compensation Benefits Introduction to the Workers’ Compensation Program The purpose of this section is to provide information on the Workers’ Compensation Program, and in particular, the impact of Workers’ Compensation benefits, as well as other public disability benefits (PDB), on Social Security Disability Insurance (SSDI) and SSI. It’s important to identify general provisions of the Workers’ Compensation Program that are common across states. First, under the Workers’ Compensation Program, states authorize benefits for accidental, job-related injury. Employees are entitled to Workers’ Compensation benefits from the business only when they suffer a personal injury that arises out of an accident they incurred on the job. The injury or illness must not be or caused by intoxication or substance abuse. If it’s self-inflicted, or caused by intoxication or substance abuse, the individual won’t be eligible for a Workers’ Compensation benefit. Secondly, the types of Workers’ Compensation benefits employers provide include partial replacement of the individual’s lost wages as well as payment for medical costs and death benefits. Third, each state defines the covered businesses as well as the types of jobs that are covered under the Workers’ Compensation Program. In other words, for businesses, the Workers’ Compensation Program essentially limits their liability for on-the-job injury or illness to the remedies and benefits that are available to the individual under the workers’ compensation statutes in their particular state. It’s important to keep in mind, however, that while employees generally give up their right to sue their employer, they still retain the right to sue negligent third parties. If a third party is liable for the illness or injury, the proceeds from those lawsuits reimburse the business for benefits that they paid to the injured worker. Public Disability Benefits (PDB) Other than Workers’ Compensation A Public Disability Benefit or PDB as defined by Social Security is a benefit employers pay a federal, state, or local law or plan to workers for temporary or permanent disabilities. PDBs usually are not based on a work- related injury or illness and may be in the form of periodic
2017_WIPA_Manual_Module_5_S.docx