Last week, we discussed Lump Sums in a broad sense. This week, we are here with a few FAQs and answers. As a business owner, you should aim to have enough knowledge in this field, so if an injured employer came to you with concerns, you could help them! Of course, you can always turn to your trusty Massachusetts workers compensation provider, Wolpert Insurance, too!
For those of you who are interested in learning more about Lump Sums, read on!
FAQ #1: Does an employer have to approve a Lump Sum?
Answer: Yes, in many cases it is an employer’s job to approve a Lump Sum proposal. If an employer does not approve, the proposal will not proceed.
FAQ #2: Does signing a Lump Sum Agreement mean the employee is terminated?
Answer: No, it does not. An employer cannot assume that an injured worker who signs a Lump Sum Agreement is agreeing to not return to work. Signing a Lump Sum Agreement will still allow employees to maintain employment with his or her current employer, as well as gain employment from ANOTHER employer.
FAQ #3: Does a Lump Sum Agreement close a case forever?
Answer: Yes. When signing a Lump Sum Settlement, all future compensation payments for that specific injury or illness will be replaced with the agreed Lump Sum.
At Wolpert Insurance, it is our goal to provide you with both informative and educational information—and coverage, of course! For any other questions or concerns, do not hesitate to reach out to our agency.
Next week, we will have three more FAQ to answer. Will you be joining us?