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How is worker’s compensation calculated?

How is worker’s compensation calculated?

There are two components to most worker’s compensation case, disability and impairment. The first calculation would be your temporary total disability benefit or your wage replacement. The wage replacement in a worker’s compensation claim is paid at two-thirds of what is called your average weekly wage. So, the insurance company goes back a period of time and they add the amount of money that you’ve earned during that period of time and they divide it up and they come up with a disability rate. Many times, the insurance companies made an error in that calculation. For instance, they exclude overtime, they exclude certain benefits. So, it’s important to go over their calculation to make sure that they’ve paid you the correct rate. The second calculation is the permanent partial impairment. In Indiana, at the end of a claim when a doctor says nothing else could be done medically, they’re going to determine if a person, as a result of this injury, has a measurable loss of function. And if that function has a number, they will be paid a certain amount of money for that number. So for instance, if I have a shoulder injury as a result of a work accident and the doctor feels I’ve lost 5% of the function in my shoulder, that 5% has a value that is calculated by Indiana Worker’s Compensation. The calculations in worker’s compensation claims can be confusing and complex. It’s important to talk to an attorney who understands these complexities. The attorneys at Blachly, Tabor, Bozik and Hartman can help you through these issues.

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