Become Familiar with Common Workers’ Compensation Terms You Might Encounter
After getting injured in a work accident, you probably reported your accident with your employer and they have informed you that a claim is going to be filed. When your claim is finally processed through your employer’s insurance carrier, you are likely going to be required to fill out paperwork and may be provided with various documents regarding your workers’ compensation benefits. This can sometimes become confusing and even overwhelming because you may come across some terms you have never seen before.
To help you get more acquainted with workers’ compensation, below is a brief explanation of some of the common terms that are generally used when a worker has become injured and is being compensated by their employer through workers’ comp in the state of Texas.
What is an Average Weekly Wage (AWW)?
Each workers’ compensation claimant will receive a different amount for their work accident and it depends on their job, the injury, and the amount of money they make. These factors will all contribute to what types of benefits are provided and how much is paid out in the event the claimant is entitled to receive a payment from their employer’s insurance company.
The AWW is used to determine how much you will receive for income and death benefit payments. The average weekly wage is the average amount of money you made on a weekly basis during the 13 weeks you worked right before the work-accident occurred.
If you aren’t sure as to whether your benefits are being paid at the appropriate rate, you can always ask your employer or reach out to one of our knowledgeable and reliable accident attorneys in Lewisville, Texas who can look into the matter more for you.
What is the Maximum Benefit Amount?
The Maximum Benefit Amount is the maximum amount of benefits an employee may receive on a weekly basis. The maximum benefit amount cannot exceed the state average weekly wage (SAWW), rounded to the nearest dollar. The SAWW is as follows:
- If you are receiving Temporary Income Benefits (TIBs), you should receive 100% of the SAWW.
- Impairment Income Benefit (IIB) receivers may be provided with a maximum amount of 70% of the SAWW.
- If you are eligible to receive Supplemental Income Benefits (SIBs), you are entitled to collect no more than 70% of the SAWW.
- Lifetime Income Benefits (LIBs) pays a maximum of 100% of SAWW for the first year an injured employee receives LIBs.
- Death Benefits (DBS) are paid at 100% of the SAWW.
The state average weekly wage “is equal to 88% of the average weekly wage in covered employment computed by the Texas Workforce Commission under §207.002(c).”
What is an Impairment Rating?
An impairment rating “is the percentage of permanent physical damage to your body that resulted from a work-related injury or illness” [Source: Texas Department of Insurance]. This will impact the types of benefits you get and if you receive the maximum allowable amount the insurance company will provide you with.
Work accidents sometimes leave employees out of work and struggling to make ends meet. That is why there are workers’ compensation benefits and you need to be certain you are being provided with a fair amount that also complies with state laws. If you would like one of our accident lawyers in Lewisville, TX to review the details of your claim to ensure it is being handled properly or have another concern regarding a different type of accident, we can help you.
USAttorneys.com would be more than happy to connect you with a local Lewisville accident attorney now who is available to assist you.