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How Is My Workers’ Compensation Claim Calculated?

Published October 28, 2021 by Matt Fendon Law Group | Workers' Compensation
How Is My Workers’ Compensation Claim Calculated?

Arizona law allows employees who suffer work injuries or occupational illnesses to negotiate a settlement when claiming workers’ compensation benefits. Maximizing the amount of your workers’ comp settlement is essential to ensure you do not suffer financially while you recuperate. For that reason, you need to understand what considerations go into calculating workers’ comp settlements in Arizona.

Injured on the job? Reach out to Matt Fendon Law Group today for a free strategy session with an experienced Arizona workers’ compensation lawyer. Please be aware that any advice we provide in relation to already pending settlement offers will be limited without actually representing you. Call or contact us today.

What Is a Workers’ Compensation Settlement?

A workers’ compensation settlement is an agreement with your employer on the amount of benefits you will be paid for your job-related injury. You may receive a lump sum or installment payments. In exchange for the settlement, you waive the right to pursue any further workers’ compensation benefits in the future.

Types of Workers’ Comp Benefits in Arizona

If you are injured on the job in Arizona, workers’ compensation benefits that you might be entitled to include:

  • Temporary disability benefits: Provide partial wage replacement if you cannot work or cannot work full time due to your work injury.
  • Permanent partial disability benefits: Paid if you have lost an extremity, functional use of an extremity, or if you have lost hearing or eyesight. Payments are based on your pre-injury wages and are paid for a number of weeks based on the affected body part. There are two types of permanent partial disability benefits in Arizona: scheduled and unscheduled. Scheduled benefits are limited in time and have an end date, versus unscheduled permanent partial disability benefits – you may be eligible to receive these benefits for life.
  • Permanent total disability benefits: Continue your temporary disability benefits if you are totally disabled and cannot perform any gainful work. You must have an unscheduled disability in this category (e.g., backs, shoulders, hips, head, mental, multiple scheduled injuries).

Calculating a Workers’ Compensation Settlement in Arizona

Calculating a workers’ compensation settlement involves estimating the benefit payments that an injured worker is entitled to and the future expected medical expenses they will likely incur.

What is Arizona’s workers’ comp rate?

Temporary disability benefits under Arizona’s workers’ compensation system entitle you to receive two-thirds of your pre-injury average monthly wage, subject to a cap. If you have dependents, you can also receive a supplemental payment of $25.

However, if you can return to part-time work, you will receive temporary disability benefits equal to two-thirds of the difference between your pre-injury average monthly wage and the income you now earn.

Permanent partial disability benefits are paid at 50 percent of your average monthly wage for a partial loss of use of a body part, 55 percent of your average monthly wage for an amputation or total loss of use of a limb, or 75 percent of your average monthly wage if you cannot return to your pre-injury job due to the partial disability.

Unscheduled partial disabilities may entitle you to receive 55 percent of the difference between your pre-injury average monthly wage and the income you now earn. Unscheduled total disabilities will pay you 66 2/3% of your average monthly wage for the rest of your life.

Get Help Calculating Your Workers’ Comp Settlement

If you have questions about what benefits you might be entitled to through workers’ compensation, contact Matt Fendon Law Group today. An experienced workers’ comp lawyer can walk you through applying for benefits and discuss how to reach a full and fair settlement with your employer. Call or contact us today for a free consultation.

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