How Long Does it Take a Judge to Approve a Workers’ Comp Settlement?

If you’ve agreed to a workers’ comp settlement, you’re probably eager to wrap things up and get your payment. But before any money changes hands, the settlement has to go through one final step: approval by a workers’ compensation judge. So, how long does it take a judge to approve a workers’ comp settlement? 

In work injury cases, the terms “judge” and “arbitrator” are sometimes used interchangeably. In Illinois workers’ comp cases, however, it’s typically an arbitrator who approves settlements.

The time it takes to get arbitrator approval of a workers’ comp settlement depends on several factors, including the strength of your documentation, the court’s current caseload, and whether any red flags pop up during review. 

At DePaolo & Zadeikis, our Chicago workers’ comp lawyers guide injured workers through the entire settlement process, helping ensure no loose ends hold up your payment. Call us at 312-263-7560 to schedule a free consultation. 

What You Need to Know About the Workers’ Comp Settlement and Approval Timeline

A workers’ compensation settlement can take anywhere from 6 weeks to two or more years in Illinois. Around half of the workers’ comp claims are settled within 13 to 24 months. Less than 20% of work injury cases are settled within 6 months.

The workers’ compensation settlement process varies, but your claim will likely follow this basic timeline:

• Report your injury to your employer. In Illinois, you have 45 days to report the injury to your employer. If you take longer than 45 days, the insurance company will likely deny your claim. They will probably argue that your injuries could have happened between the date of the accident and your report, or that your injuries worsened because of your decision to wait so long.
• Get Medical Treatment and Reach MMI. Your employer or their insurer may direct you to an approved provider for evaluation and care. Your treating doctor will determine when you’ve reached maximum medical improvement (MMI)—the point at which your condition has stabilized and won’t improve with further treatment. MMI is a key milestone in calculating benefits and negotiating a settlement.
• File an Application for Adjustment of Claim. To protect your rights, you’ll need to file an Application for Adjustment of Claim with the Illinois Workers’ Compensation Commission (IWCC). You must file within three years from the date of injury or two years from the last benefit payment—whichever is later.
• Your claim is approved or denied. If your claim is accepted, the insurer will begin paying benefits. If it’s denied, you can request a hearing before an IWCC arbitrator. Many claims that start with partial denials are later resolved through settlement negotiations.
• Negotiate a settlement. Once you reach MMI, you can negotiate a lump-sum or structured settlement. You aren’t required to accept the first offer. A workers’ comp attorney can help ensure the amount fairly reflects your lost wages, medical costs, and potential for future treatment. 
• Judge Approval and Payment. Once you reach an agreement, the settlement must be submitted to the IWCC for approval. After the arbitrator signs off, payment is typically issued within 14 to 30 days, depending on the terms. 

Factors That Can Impact the Workers’ Compensation Timeline

Common factors that can influence the time that your workers’ comp claim takes include:

The Severity of Your Injury

You need to reach maximum medical improvement (MMI) to determine the compensation that you can receive. MMI means that you have recovered as best you can and have reached a plateau in your medical treatment and recovery.

Once you have reached MMI, it will be possible to determine what your past medical bills are, and what ongoing treatment you may need. Your doctor will be able to determine whether you have suffered any sort of disability, and how your ability to work and earn in the future has been impacted. These factors affect the settlement amount.

If your injuries are severe, it is likely to take longer to reach MMI than if you have relatively minor injuries that heal quickly.

Disputes Can Delay Your Workers’ Comp Settlement

Employers and insurers don’t always have your best interests in mind. Your employer may be motivated to minimize claims in order to keep workers’ compensation insurance premiums low. The insurance company, in turn, might dispute your claim to avoid paying out benefits. Common points of contention include the severity of your injury, whether the injury was truly work-related, whether you reported the incident on time, and the amount of compensation you’re entitled to receive.

Any of these disputes can significantly delay your case. Until those issues are resolved—through negotiation, additional medical evidence, or a hearing before the Illinois Workers’ Compensation Commission—your settlement may be stalled.

The Settlement Amount

The more severe the injury, and the more compensation that you are claiming, the longer the claim is likely to take. This is because for larger claims, there is more at stake for the insurance company, so they will want to investigate properly. There are also more technicalities involved in calculating your settlement.

For example, if you have suffered some form of disability, your doctor will need to determine if it is temporary or permanent, total, or partial. If it is partial, your doctor will give an impairment rating as a percentage, for the amount that you have lost the use of a particular limb. Illinois has a schedule for payments for loss of use of limbs. This also determines how long worker’s comp lasts.

Your benefits can last from weeks to several years, depending on the recovery time and whether you have suffered a disability. In some cases, if you have suffered a permanent disability, it can even last for the rest of your life.

This involves technical reports and calculations to work out your compensation, which takes time and slows down the process.

Negotiations

Should you accept a workers’ comp settlement offer? Accepting a workers’ compensation settlement offer may lead to a faster resolution, especially if you agree to the insurer’s first proposal. However, speed shouldn’t come at the expense of fairness. Initial offers are often lower than what your claim may actually be worth—especially if you’ll require ongoing treatment or have permanent limitations.

If you choose to negotiate for a higher settlement and the insurer won’t agree, your case may proceed to an arbitration hearing before the Illinois Workers’ Compensation Commission. This can add time to the process, but it may be necessary to secure full and fair compensation.

When You Hire a Lawyer

Hiring a lawyer early in your workers’ comp claim increases the chances that all necessary forms are completed correctly and that you gather the right evidence from the start. This proactive approach helps reduce disputes and keeps your claim moving smoothly. Without legal guidance upfront, mistakes on paperwork, missing evidence, and disputes are more likely—issues that inevitably slow down the entire process.

How a Workers’ Compensation Lawyer Can Help

A workers’ compensation attorney will help you handle your claim effectively and help with any concerns that you may have. He or she will help you to focus on your own recovery, by saving the time and effort that you would have had to put into filing your own claim. Your attorney will be able to handle much of the process, including:

• Collecting evidence pertaining to your accident and injury, including contacting witnesses and collecting testimony.
• Determining the amount of compensation that you are entitled to receive.
• Filing your claim.
• Negotiating a fair settlement on your behalf with the insurance company.
• Handling any disputes, or legal processes, such as taking the matter to a hearing or trial.
• Handling communications with the insurance company.

The best workers’ compensation lawyers pursue every angle to ensure success. Your lawyer will know what evidence and arguments go to present, to overcome any disputes that the insurance company might present, as he or she will know the legal principles involved.

The insurance company might require you to use a doctor of its choosing, or from a predetermined list. You may end up with a medical report that is biased in favor of the insurance company by finding as little damage as possible. The doctor has reason to give the insurance company incentive to keep using him or her. An experienced attorney will know how to counter such a medical report.

You may even need disability after a workers’ comp settlement, in which case you will need a lawyer to help you pursue further compensation.

If you have a workers’ comp attorney from the start, the process is likely to be far smoother and quicker, you are more likely to have your claim approved, and will probably receive a higher settlement amount. You will also have a lawyer ready to represent you, should the case have to go for a hearing or to trial.