One of the most challenging aspects for an injured worker to face after an accident is the reduction of income while he or she recovers. Temporary total and temporary partial disability money benefits from the workers’ compensation insurance company do not cover 100% of your salary. These benefits cover roughly between 66% and 64% of the gross wages an injured worker was earning before his or her accident. This reduction in income, especially for single income households, often creates significant financial stress. That is where a workers compensation cash advance can help.
This is not going through a third party, with high interest rates like you may see on a late night infomercial. Instead, this is a court ordered advance from the workers comp insurance company.
Florida Workers Compensation Law
In Florida, there are situations where extra, financial help may be available to you. Situations where you may need extra help to pay for important things such as:
- Past-due bills;
- Medical expenses not covered by the insurance company; and
- Other financial needs arising as a result from workplace injuries.
One option available to an injured worker is to seek a cash advance on future benefits from the workers’ compensation insurance company.
If the insurance company will not voluntarily agree to issue a cash advance, a Judge of Compensation Claims (JCC) has the authority to order it.
There are two types of advances:
- Advances below and up to $2,000
- Advances over $2,000
While it is possible to get a cash advance of over $2,000, they are rare. The majority of the advances, are below the $2,000 threshold. That is what we are going to look at here. For those instances where you may be eligible for more than $2,000 you need to contact a Jacksonville work injury attorney to discuss it in detail.
Workers Compensation Cash Advance, What Do I Have to Do?
So, the option for a workers compensation cash advance is out there, but what do you have to do to get it? First you have to show need for it to a Judge of Compensation Claims (JCC). The JCC may order the advanced payment upon showing that you, the injured worker have:
- Suffered a substantial loss of earning capacity or
- You suffered a physical impairment.
OK, but how is that determined? Since we are looking for an advance up to but not over $2,000, a JCC must perform a two-step inquiry.
Step One
First, the Judge of Compensation Claims must determine whether you fall into one of the three specified statutory categories:
- Workers who have not “returned to the same or equivalent employment with no substantial reduction in wages”;
- Workers who have “suffered a substantial loss of earning capacity”; or
- Workers who have suffered a “physical impairment”. § 440.20(12)(c)(2)[1]
Your workers’ compensation lawyer will be able to help you demonstrate your hardship and injury. If the JCC finds that you qualify, you move on to step two.
Step Two
For the second step, the Judge must determine that you (the injured worker):
- Is a proper claimant, and
- Has provided adequate justification for his or her request.
You must show there is a clear connection between the need for the advance and the workers’ compensation injury. The need must be closely tied to a justifiable medical or other need arising from and related to the workers’ compensation claim.
Yet, the good news is because you are requesting an advance of less than $2,000, there are several big points that you do not have to prove.
- You do not have to prove that you will achieve a permanent disability status, and
- You do not need to prove that there will be a source of future benefits to repay the advanced money.
For the purposes of the cash advance you just must show the financial need and that need is due to the work injury.
We Can Help
As your workers’ compensation lawyer, it is our job to assist you get all the help that is available to you. When suffer a work injury, you need someone fighting for you, a workers’ compensation lawyer in Jacksonville, FL that knows the law and has the experience to ease the stress and help navigate through the process.
Our office has represented injured workers in Florida since 1986. If you have questions about a workers compensation cash advance, or any other Jacksonville workers’ compensation matter, please contact us for a free consultation.
[1] Lopez v. Allied Aerofoam, 48 So. 3d 888 (Fla 1st DCA 2010).
[2] Florida v. Williams, 743 So. 2d 609 (Fla. 1st DCA 1999).
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