Alternatives to Workers' Compensation

Like many injured workers, you may find yourself in a financial bind while waiting for your workers' comp claim to kick in. If you can't return to work right away and yet your workers' comp payments haven't started, here are some potential cash-producing alternatives to investigate.

Social Security Disability

Contact your local social security office to find out if you can collect disability. The standard is a tough one: your condition must be severe enough that it interferes with the basic work-related activities of your prior employment and you must be unable to do any other work as well. Factors they will look at include your medical condition, age, education, past work experience and transferable skills.

Will collecting social security benefits affect your ability to collect workers' comp? One rule of thumb is that your social security and workers' comp benefits together can't exceed 80% of your average earnings just prior to your accident. Your ability to collect social security disability benefits may also be affected by civil service disability benefits, state temporary disability benefits and state or local government retirement benefits based on disability.

Unemployment Compensation

Contact your local unemployment office to find out if you can collect unemployment benefits while you're waiting for your workers' comp claim to start paying. A mix of state and federal laws determines who is eligible, how much you receive and how long benefits last. Generally, you must be willing to declare that you are able and willing to do some specific type of work and that you are currently actively seeking employment.

Medical Insurance

Your medical insurance should cover your health care expenses - which can be considerable.

Short- or Long-Term Disability Insurance

Disability coverage can kick in anywhere from 30 days to six months after a disabling accident. Although payments typically aren't very high, every penny counts when you're talking about your financial survival.

Credit or Mortgage Insurance

Remember that "tragedy insurance" you paid extra for through your credit card or mortgage company? Dig out the contract and read the fine print - it just might cover a disability, temporary or otherwise. Having your credit card or mortgage payments covered, even for a short period of time, could make things look a lot more manageable.

ADA Accommodations

Your employer may be obligated to bring you back to work doing work you can currently handle. Check out the Americans With Disabilities Act accommodation requirements elsewhere on this Web site.

Litigation Against Third Parties

You may have a legal claim against the manufacturer of faulty equipment, a medical malpractice claim against the health care professionals who cared for you after the accident, or be able to sue the driver of the vehicle that hit you while you were doing your job. With any claim against a party other than your employer, you may be entitled to payment of your medical expenses and other compensation. Contacting a lawyer as soon as possible is a good idea.

While none of these alternatives alone will keep you out of the poor house, applying for every benefit you may be eligible for may keep you afloat while you're waiting for final word on your workers' comp claim. It's certainly worth investigating. You have nothing to lose but your mounting debt.

Related Web Links:

Social Security Disability Information
Unemployment Compensation State Websites and Case Law

Workers' Comp Message Board for more help