How and when does “Permanent Disability” get paid?

Permanent disability payments usually start when you return to work or when your condition is permanent and stationary. Permanent disability payments are usually lower than temporary disability payments. The insurance company may not start permanent disability payments immediately. See above description about confusing letters from the insurance company. They often send out a letter delaying the start of payments, stating that it is “too early to tell if there will be permanent disability”. They might be right but often they unreasonably delay payment which can make them liable for a penalty.

Permanent Disability payments are made every two weeks.

The total amount paid depends on the percentage of the permanent disability rating. The higher the percentage, the more weeks of payments. These payments are not paid for life! The number of weeks ranges from 3 weeks for 1% to 897 weeks for 99%.

For disabilities between 70% and 99%, there is a “life pension” (also paid every two weeks) which follows the end of the permanent disability payments. For injuries after 1/1/2006 the life pension ranges from $77.31 per week for 70% to $301.50 per week for 99%. Once these “life pension” payments begin, they become subject to an annual cost of living increase.

100% permanent total disability is paid at the temporary disability rate FOR LIFE. It is subject to an annual cost of living increase.

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