Does The Settlement Have To Be Approved By The RI Workers’ Compensation Agency?
Does my settlement have to be approved by the state workers’ comp agency?
Any type of settlement- whether it’s a denial and dismissal or a lump sum commutation- has to receive the approval of a judge from the Rhode Island Workers’ Compensation Court before it is official.
This is because the Rhode Island Workers’ Compensation Act is remedial in nature and is designed with some benevolent purposes for helping the injured worker. So, the last thing a judge would want to see is that an employee is trying to settle a case that is clearly not in his or her best interest.
What the Judge Looks At
The judge will look at whether or not the employee understands the settlement and the consequences of the settlement, as well as whether or not the employee is capable of some sort of work, even if it’s light or restricted in nature. The judge will also consider whether or not the employee has something in place to be able to receive future medical treatment. This is because a settlement typically means that the insurance company is no longer responsible for paying for future medical bills. Some judges will have other questions that they will ask in order to determine whether the settlement is in the best of interest of all parties.