Disability Law

Georgia Law on Late Payment of Workers' Compensation Settlement Checks

By Jack E. Clay

Question: I was hurt at work. I have settled my case and am ready to get on with my life. When is my workers compensation settlement check due? What happens if they don't pay on-time?

Answer: Within 20 days. If the check is not paid timely, the employer/insurer owes a 20% penalty.

Explanation: As an Atlanta & Douglasville workers' compensation attorney, I have seen settlement checks paid late numerous times by insurers. This creates problems. If clients were receiving income benefit checks in the form of Temporary Total Disability benefits or Temporary Partial Disability benefits, their checks were stopped when the settlement was approved by Georgia's State Board of Workers Compensation in Atlanta. The answer is simple. Your settlement check is due within 20 days of approval by the State Board of Workers' Compensation. If it is not paid within these 20 days, a penalty attaches of 20%.

Here is an example, assume you sign your settlement paperwork on January 1st. The documents have to be returned to the Employer/Insurer, submitted to the Georiga State Board of Workers' Compensation, reviewed, and approved by the Settlement Division. Let's assume that this approval happens on January 20th. It could be shorter or longer, depending on the circumstances. Once approved, the law allows 20 days for payment of settlement funds. Also, your weekly income benefit checks will stop when the approval takes place. The final settlement check shall be paid by February 9th which is 20 days after January 20th.

Full post as published by Georgia Law Blog on February 19, 2009 (boomark / email).