Arizona workers ‘compensation can provide you with partial wage replacement benefits, usually two-thirds of your average monthly compensation before your work-related injury, illness, or other medical condition. If you are receiving workers’ compensation, then you are not eligible to also receive unemployment benefits.
If you have questions about workers’ compensation and other benefits, please call Matt Fendon Law Group at (800) 229-3880 to speak with one of our experienced workers’ compensation lawyers.
Workers’ Comp and Unemployment Insurance
Workers’ comp benefits can continue while you are medically unable to work or meet specific disability criteria.
Unemployment benefits, however, are intended for workers who are out of work through no fault of their own but are still physically able to work and actively seeking a new job. They are calculated based on your work history and last only for a limited period.
If you are on a no-work status for your workers’ compensation claim in Arizona, then you should not file for unemployment benefits because you are not able to receive them. If you are on a no-work status, you cannot work, and you wouldn’t qualify for unemployment benefits.
Light-Duty and Unemployment
If you have an accepted workers’ compensation case and are on a light-duty status as per your employer, you can file for unemployment benefits if your employer terminates your employment.
But any benefits you receive from unemployment will be deducted from the temporary partial disability benefits that you would be entitled to from workers’ compensation.
NOTE: Be sure to report that you are receiving unemployment benefits to the workers’ compensation insurer. This will reduce your workers’ compensation benefits; however, failure to report could result in fraud.
Can I Collect Unemployment While Waiting for Workers’ Comp?
Though receiving workers’ comp will generally disqualify you from collecting unemployment benefits, there may be some situations in which you could receive unemployment while dealing with a workers’ comp claim.
For example, if your workers’ compensation claim is still under review, then you may qualify for unemployment benefits during this waiting period. In this case, you may be temporarily eligible for unemployment benefits until your workers’ comp claim is approved. That may allow for some income support while you await your workers’ comp case decision.
Common Mistakes to Avoid When Seeking Workers’ Comp and Unemployment
Here are some common mistakes to avoid when considering workers’ comp and unemployment claims:
- Applying for both without checking your eligibility. If you try to receive both workers’ compensation and Arizona unemployment benefits simultaneously without meeting the specific requirements and exceptions, this can result in legal and financial complications. Ensure you understand each eligibility criterion and consult an experienced Arizona workers’ compensation law firm to confirm your eligibility.
- Not reporting income changes. Failing to report income from workers’ compensation when applying for unemployment can result in penalties or a requirement to repay benefits.
- Overlooking transitional options. Some people rush to apply for unemployment once they are cleared for light work or partial disability without checking to see if they still qualify for workers’ comp benefits with restrictions. Take the time to understand if you can transition between benefits instead of applying for both at the same time.
Avoiding these mistakes can make your claims process easier and improve your chances of receiving the support you need while complying with Arizona workers’ compensation and unemployment compensation laws.
Learn More About How Arizona Workers’ Comp May Combine With Other Benefits
Call Matt Fendon Law Group at (800) 229-3880 for a free consultation on your workers’ compensation case, or use our online contact form to schedule an evaluation of your possible workers’ comp claim. We are the largest family-owned and operated workers’ compensation law firm in the State of Arizona.
