While workers’ compensation is usually the sole legal remedy for injuries sustained at work, there are circumstances where you may be eligible to pursue a third-party claim. This avenue is open when someone other than your employer played a role in causing your injury. However, it’s crucial to be aware of the implications of workers’ compensation liens on any potential third-party claims. Please continue reading as we explore whether you’ll have to return your workers’ compensation award if you file a third-party claim and how a knowledgeable Prince George’s County Work Injury Lawyer can assist you in your fight for fair compensation.
What is a Third-Party Claim?
If you have been injured due to someone else’s negligence, you may be able to pursue legal action against them, even if you have already received workers’ compensation benefits. This is known as a third-party claim or personal injury lawsuit, and it can help you recover damages that aren’t covered by workers’ compensation, such as pain and suffering.
Although workers’ compensation provides a relatively straightforward process of obtaining benefits, it doesn’t allow you to be fully compensated for your losses. In contrast, a successful third-party claim can result in a larger settlement, as it allows you to recover compensation for both economic and non-economic damages.
However, you should note that a third-party claim requires you to prove that the third party’s negligence directly caused your injuries. This differs from workers’ compensation, which operates under a no-fault system, as you are not responsible for proving fault, just that you were injured while performing duties within the scope of your employment.
How Do Third-Party Claims Affect Workers’ Compensation Benefits in Maryland?
Under Maryland law, double recovery for the same injury is prohibited. If an injured worker receives workers’ compensation benefits, employers and insurers can place a lien on any personal injury lawsuit awards. Essentially, you will be required to reimburse these parties for the benefits you received up to the amount of the third-party recovery. This ensures that the injured party doesn’t receive an unwarranted financial windfall by being compensated twice for the same incident.
To ensure that you receive fair compensation for your damages, a seasoned attorney can negotiate with the workers’ compensation insurer to reduce the lien. This is important to avoid undercompensation for your losses while preventing unjustly profiting from your injuries. It’s crucial to note that your employer or their insurance carrier could waive the lien. However, if they do, it’s typically in exchange for continued workers’ compensation benefits being less or stopping altogether. If they don’t waive the lien, you can still receive an award, but the formula by which your award is calculated is more complex.
Given the complexities of this process, it’s in your best interest to enlist the help of a determined attorney from McCarthy, Winkelman, & Mester, L.L.P., who can help secure more of your third-party compensation. Connect with our firm today to learn how we can help you fight for the compensation you deserve.
