Question: I was injured in a car accident. I was working at the time and collected workers compensation. I also sued the other driver who caused the accident. I’m told that I need to pay back the workers comp carrier when I settle the car accident case. Is that so? Anonymous, Old Forge, Pa.
Answer: Under Pennsylvania law, if you recover money damages from a third party as a result of their negligence in causing a work injury, the workers compensation carrier can recoup monies that were paid to you under your workers comp claim. This concept is referred to as subrogation. The workers comp carrier can recover a percentage of the amount of wage loss benefits and medical expenses paid on the work injury claim. The gross lien amount will be reduced by your expenses of recovery in the 3rd party negligence claim. The expenses of recovery include the attorneys fees and litigation costs that you incurred in the civil claim. After the net lien is calculated and reimbursed to the workers comp insurance carrier, the workers comp carrier will then pay you a reduced percentage of wage loss benefits (where applicable) and medical expenses over a grace period.
If you’ve suffered a work injury and have questions about your claim, contact me at tcummings@dlplaw.com or call (570) 347-1011 for a free consultation.
Disclaimer: The above article is for instructive purposes only and each case
