Workplace injuries can upend your life in an instant—physically, emotionally, and financially. You may be wondering, “What do I do if I had an accident on the job and can’t work? How do I get money to live?”
Thankfully, you’ve come to the right place. Legal Bay has put together a guide to help both employees and employers alike navigate the often complex terrain of workers’ compensation and third-party claims. This resource will better empower individuals to better understand their rights, responsibilities, and possible compensation avenues.
Whether you’re dealing with a straightforward on-the-job injury or a more complicated case involving third parties, here’s what you need to know about navigating the process, including how to obtain pre-settlement legal funding to stay afloat while you wait for your lawsuit to resolve.
First, let’s start with the basics:
What is Workers’ Compensation?
A no-fault insurance carried by your employer.
- What it covers: medical bills, partial lost wages, and rehabilitation.
- You cannot sue your employer in most cases, even if they were negligent.
- Usually quicker but offers limited compensation.
- No need to prove fault.
What are Third-Party Lawsuits?
Cases filed against a negligent third party (not your employer) involved in your workplace injury.
- Could involve outside contractors, equipment manufacturers, or property owners.
- Allows you to seek damages for pain and suffering, full loss of wages, and more.
- May take longer but can result in significantly higher compensation.
- Must prove negligence.
Some Tips for Employees to Navigate Workers’ Compensation Claims:
- Report the injury immediately: Delays can lead to claim denials. File with your employer right away
- Seek medical attention as soon as possible: Use the doctor approved by your employer’s insurance unless stated otherwise.
- Follow your advised treatment plan exactly: Missing medical appointments can risk your claim.
- Keep complete records: Document medical reports, missed workdays, and all communication with your employer, doctors, and/or insurance company.
- Consult a workers’ comp attorney: Even if the process seems simple, a lawyer can help if benefits are delayed or denied.
Some Tips for Employees to Navigate Third-Party Lawsuits:
- Identify the negligent party: Was it a property manager? Outside contractor? Equipment malfunction? Your lawyer will help determine liability.
- Gather evidence early: Photos of the scene, witness statements, and possibly even police reports can help your case.
- Don’t settle for a lowball offer: Third-party claims may take longer to resolve but often result in larger payouts.
- Work with a personal injury attorney: Choose a lawyer with experience in workplace-related third-party lawsuits.
- Know that you can pursue both lawsuits at once: You can collect workers’ comp and also file suit against a third party.
- If you are out of work and need money, consider obtaining legal funding to pay bills while your lawyer works on building optimal case value.
Tips for Employers Dealing with Workers’ Comp & Third-Party Claims
When an employee is injured, employers must act quickly and carefully to protect both the worker and the business.
For Workers’ Compensation Claims:
- Report promptly to your insurer and state agency.
- Support the employee’s recovery with clear communication and, if possible, modified responsibilities.
- Document everything, including the incident, medical reports, and return-to-work efforts.
- Train supervisors on proper injury response and reporting procedures.
If a Third-Party Lawsuit is Involved:
- Understand your position: The employee is suing a third party, not you, but your insurer may seek reimbursement through them as well.
- Save evidence related to the injury, especially if an external party was involved.
- Coordinate with your legal and insurance teams.
General Advice:
- Stay neutral and supportive: Never retaliate against the employee or discourage legal action.
- Cooperate fully with insurers and legal counsel.
- Review and update safety practices as needed to prevent future incidents.
Legal Funding: How to Stay Financially Stable During a Worker’s Comp Case
Waiting on a settlement can strain your finances, especially if you’re unable to work. That’s where pre-settlement legal funding comes in.
What Is Legal Funding?
Legal funding (also known as loans on lawsuits or lawsuit funding) offers money in advance of your lawsuit settlement based on the value of your pending claim. They are non-recourse, meaning you only repay the money if you win your case.
Eligibility for Legal Funding:
- Workers’ Compensation Cases: Some funding companies will offer cash advances, but it’s more limited due to lower expected payouts.
- Third-Party Lawsuits: Easier to secure funding due to the potential for higher settlements.
Tips for Obtaining Pre-Settlement Legal Funding:
- Apply through a reputable funding company: Look for transparent terms, low rates, and no hidden fees.
- Make sure they are a direct funder and not a broker.
- Bring your attorney into the conversation: Your funder will need to work with your lawyer to obtain the details surrounding your case and to arrange your payment.
- Borrow only what you need. Legal funding is risk-free, but it isn’t fee-free. You want to make sure that when your case is finally settled that you’re still coming out ahead.
Final Thoughts
Whether you’re navigating a traditional workers’ compensation claim or pursuing a third-party lawsuit, the process can be intimidating, but you don’t have to go it alone. Hiring an experienced lawyer and exploring pre-settlement legal funding can give you the leverage you need to focus on your recovery while you wait out the time it takes to arrive at a final resolution on your case.
Legal-Bay has always been one of the best lawsuit loan companies in the industry. They’re known for their competitive rates and quick turnaround, most times within 24-48 hours after a completed application has been reviewed. There are no out-of-pocket expenses and the application process is free.
We’d love to speak with you and answer any questions you may have. Please feel free to contact us for more information on how you can obtain legal funding for your worker’s compensation or third-party worker’s comp case.
