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Settlements of Workplace Injury Claims Delayed by New Compensation Process

Posted: July 28th, 2014

From 1st August, settlements of workplace injury claims could be delayed by up to three months due to the introduction of the DSP´s “Recovery of Certain Benefits and Assistance Scheme”.

The “Recovery of Certain Benefits and Assistance Scheme” is a new initiative from the Department of Social Protection (DSP) – due to be introduced on Friday 1st August – which will enable the Department to recover specific welfare benefits from plaintiffs´ settlements of workplace injury claims.

Although the new scheme will likely only affect the most seriously injured plaintiffs (due to the categories of benefits that are included in new scheme), employers´ insurance companies will have to apply to the DSP for a statement indicating whether or not the injured employee has received any of the following benefits due to their workplace injury over the previous five years:

  • Disability Allowance
  • Invalidity Pension
  • Injury Benefit
  • Illness Benefit
  • Partial Capacity Benefit
  • Incapacity Supplement

The employer´s insurance company will then deduct any applicable welfare benefits that have been received, send a repayment to the DSP, and the balance to the plaintiff – but only once the insurer has received a certificate of repayment, and this is the issue which could result in settlements of workplace injury claims being delayed.

The DSP has four weeks in which to supply the employer´s insurance company with the statement of welfare benefits paid; after which the speed at which the settlement will be made to the plaintiff depends on the efficiency of the insurance company to send the repayment, and the time it takes for the DSP to reply. With the new processes in place from next month, settlements of workplace injury claims could be delayed by up to three months.

Plaintiffs and prospective plaintiffs should note that the repayment of welfare benefits is not the plaintiff´s responsibility, nor does the receipt of welfare benefits disqualify a plaintiff from claiming workplace injury compensation.

If you are unsure about the new procedures relating to the settlement of workplace injury claims, how to check that deductions from your compensation settlement are accurate – and the appeals procedure if they are found to be incorrect – it is recommended that you consult with a workplace injury solicitor at the first practical opportunity.

Categories: Construction Worker Injury Solicitor

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