Understanding Your Rights After Declining a Workers’ Comp Offer
When you’re recovering from a work injury in Louisiana, one of the biggest decisions you may face is whether or not to accept a settlement offer from the workers’ compensation insurance company. But what happens if you decide to say no?
Refusing a workers’ comp settlement doesn’t mean you’re giving up your rights; it simply means you’ve chosen to continue receiving your regular benefits instead of accepting a lump sum or structured payout. In many cases, refusing an offer is the right move, especially if the amount is too low or your medical condition hasn’t fully stabilized.
Before agreeing to any settlement, it’s important to understand how refusing one might affect your case and what benefits you’re still entitled to receive under Louisiana law.
Your Benefits Continue After You Decline a Settlement
If you reject a workers’ compensation settlement, your benefits don’t just disappear. As long as you still qualify, you can continue receiving the benefits you’ve been awarded. These typically include:
- Weekly wage replacement benefits: Also known as indemnity benefits, these are paid if you’re unable to return to work or are working in a reduced capacity due to your injury.
- Medical care: Workers’ comp continues to cover the cost of necessary treatment, including surgeries, therapy, prescriptions, and specialist visits.
- Vocational rehabilitation: If you can’t return to your previous job, you may be eligible for job training or placement assistance.
Refusing a settlement means the insurance company remains responsible for these ongoing obligations, but it also means your claim stays open, which can be both an advantage and a challenge, depending on your goals and medical progress.
Why Would Someone Refuse a Workers’ Comp Settlement?
There are several valid reasons to decline a settlement offer, particularly if the timing or terms aren’t in your best interest. Here are some of the most common reasons:
- Your condition hasn’t reached maximum medical improvement (MMI): It’s usually a mistake to settle before you’ve recovered as much as possible. If your condition worsens after settling, you may be left without coverage for additional care.
- The offer doesn’t cover future medical expenses: Many insurance companies propose settlements that exclude or undervalue long-term treatment needs.
- The lump sum amount is too low: Once you settle, you typically waive your right to ongoing weekly benefits. If the offer doesn’t match your financial needs, it may not be worth taking.
- You need more time to evaluate your case: There’s no rush to accept an initial offer. It’s often wise to wait and see how your recovery unfolds and consult with an attorney about your options.
Remember, a settlement is a voluntary agreement. You are under no obligation to accept what the insurance company puts on the table, especially if it doesn’t reflect the full value of your injury and long-term needs.
Can the Insurance Company Stop Paying Benefits If You Refuse?
No, refusing a settlement offer does not give the insurance company permission to stop your benefits without cause. They are still required to provide wage replacement and medical care if you remain eligible. That said, disputes can arise if the insurer believes you’ve recovered or that your claim should be closed for other reasons.
Here’s what to watch for:
- Independent Medical Exams (IMEs): Insurers may schedule an IME to determine if you’ve reached MMI. If their doctor says you’re fit to work, they may try to stop your benefits.
- Surveillance or investigations: Some insurers monitor claimants to look for signs that they’re no longer injured. If they believe you’re exaggerating, they may dispute your claim.
- Formal petitions: The insurer can file paperwork with the Louisiana Office of Workers’ Compensation Administration (OWCA) asking to reduce or end your benefits based on new evidence.
If this happens, you have the right to respond, present your own medical evidence, and request a hearing. That’s where having an experienced attorney on your side can make a major difference.
How Refusing a Settlement Can Help You in the Long Run
Turning down an initial settlement offer often gives you more leverage to negotiate a better deal later. Insurance companies frequently start with low offers, hoping you’ll accept quickly. By holding out and continuing to receive benefits, you’re sending a message that your claim, and your recovery, should be taken seriously.
Refusing a settlement also gives you more time to:
- Fully understand the extent of your injuries
- Gather additional medical documentation
- Evaluate long-term wage loss and career impact
- Consider whether you need future surgeries or therapies
In some cases, it’s best not to settle at all, especially if your injury requires ongoing medical care that could become expensive down the road. By keeping your claim open, you retain the right to treatment and weekly payments as long as they are justified by medical evidence.
Our workers’ comp attorneys can help you assess whether a settlement makes sense, and if not, ensure that your rights are protected while you continue receiving benefits.
Contact Wanko Workers’ Comp Lawyers for Legal Representation
A settlement offer can feel tempting, especially if you’re under financial stress. But that doesn’t mean it’s the right choice for your situation. You should never feel pressured into accepting less than you deserve, especially when your health, livelihood, and future well-being are on the line.
If you’ve been offered a workers’ comp settlement in Louisiana and you’re unsure what to do, contact us today. We’ll review your offer, explain your options, and help you make an informed decision. Whether you choose to settle or continue your benefits, we’re here to fight for your rights and secure the compensation you deserve.
