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Rae Howe 503-947-7018
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Lump Sum Payments
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When
a worker receives an award for permanent partial disability, which does not exceed $6000,
the insurer must pay all of the award in a lump sum. If the award is greater than $6000
the insurer may approve a lump sum payment if the order is final by law or the worker
has waived their right to appeal the adequacy of the award.
If the insurer agrees with the worker's request for a lump sum payment,
the lump sum payment must be made within 14 days of the receipt of
the signed application.
If the insurer disagrees with the request they must complete the application indicating
the reason for denying the request and return to the worker within 14 days. (ORS 656.230)
The insurer will not approve a lump sum payment when:
- The worker has
not waived the right to appeal the adequacy of the award.
- The award has
not become final by operation of law.
- The payment of
compensation has been stayed pending a request for hearing or review.
- The worker is
enrolled and engaged in a vocational training program, will start the program
within 30 days, or has temporarily withdrawn from a training program. (OAR
436-060-0040(3) If the worker begins a training program after claim closure,
the insurer must suspend the payment of any work disability award, but continue
to pay any impairment award.)
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If the
worker has questions about the lump sum application or the insurer's
objection to pay the award in a lump sum they may contact the Ombudsman
for Injured Workers at 800-927-1271 or the Benefit Consultation Team
at 800-452-0288.
A lump sum payment ordered by litigation or as part of a Claim Disposition Agreement
does not require further approval by the insurer or the Division.
Reference: ORS 656.230
OAR 436-060-0060
Bulletin 170
Form 1174 |
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For
more information contact:
Benefit
Consultation Team: 1-800-452-0288, 503-947-7585 |
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If you have questions about this webpage, please contact
Rae Howe, 503-947-7018.
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