Illinois Lawyer Referrals and Legal Guidance
Permanent Disability In Illinois Workers' Compensation Claims
Findgreatlawyers.com is a free service, founded by Illinois lawyers, to find an attorney or obtain guidance for any Illinois legal matter, including workers compensation. Please call us at (312) 346-5320 or (800) 517-1614 or fill out our contact us form and we will contact you. All inquiries are kept in strict confidence.
Findgreatlawyers.com is a free service, founded by Illinois work injury lawyers, to find an attorney or obtain guidance for any Illinois legal matter, including Illinois cases. We provide contact information and profiles for every Illinois attorney that we have been able to identify as having experience in IL job accident cases. You will also find a great deal of legal information on various areas of Illinois law. This page talks about permanent disability and Illinois work injuries. If you have any questions about finding a lawyer or anything else, please do not hesitate to contact us.
I. INTRODUCTION
There are three types of permanent and total disability under the Illinois Workers' Compensation Act. First, a petitioner can make a claim for specific permanent and total disability under §8(e)18 of the Act. Secondly, a petitioner can make a claim for non-specific permanent and total disability under §8(f) of the Act on the theory that he is medically unable to work. Lastly, a claimant can assert that he fits into the "odd lot" category of permanent and total disability.
II. TYPES OF PERMANENT AND TOTAL DISABILITY
A. Specific Permanent and Total Disability
Under §8(e)18 of the Act, if a claimant suffers a loss of both hands, both arms, both feet, both legs or both eyes, or suffers the loss of two body parts, one from each category, he has suffered permanent and total disability.i. Frequency
Because of the severe nature of the injuries outlined in §8(e)18, claims under this section are extremely infrequent.ii. Significance of Specific Permanent and Total Disability Award
a. Award Does Not End Until Petitioner Dies
According to case law interpreting §8(e)18, there is no way of terminating specific permanent and total disability benefits once they have been awarded.
b. Return To Work
Additionally, case law also holds that a claimant can receive specific permanent and total disability benefits even if he returns to work. Scandroli Construction Company v. The Industrial Commission, 54 Ill.2d 395 (1973).
c. PPD Also Available
Additionally, the case law indicates that a claimant who suffers 100% loss of use of two specific body parts and suffers a lesser injury to a third body part can receive specific permanent and total disability benefits and permanent partial disability benefits. Rodriguez v. City - Department of Water, 97 Illinois Industrial Commission 0020.
d. Rationale
§8(e)18 is basically a statutory permanent and total section. Basically, if the petitioner fits into the language of the statute, he is entitled to a specific permanent and total disability award.B. Claimant is medically unable to work
1. Introduction
The second most frequent permanent and total disability award is one based on a claimant asserting that he is physically unable to work as opined by a medical practitioner. While these claims are still a significant minority of the cases asserted at the Industrial Commission when compared to "odd lot" claims, these claims are still a lot more prevalent than specific loss permanent and total awards.2. Proof Required
A claim in which the claimant asserts that he is medically unable to work requires that a physician opine that a claimant can never work again because of her medical condition.3. Can Injury Be to a Specific Body Part?
It was argued before the Supreme Court in 1971 that §8(f) only applied to injuries to the man as a whole. In order to recover for a specific loss, a petitioner could only look to §8(e). Furthermore, it was argued that §8(e)18 only applied to the complete loss of two specific body parts. Therefore, it was asserted that a serious injury to one specific body part, even if it was severe enough to cause a medical practitioner to opine that the claimant could not return to work because of that injury, a claimant could not be compensated under §8(f). The Supreme Court rejected that argument and held that injuries to specific body parts, while generally only compensable under §8(e), could result in a §8(f) permanent and total disability award where the injury caused permanent and total disability according to a medical practitioner. Springfield Park District v. The Industrial Commission, 49 Ill.67 (1971).4. How Employers Defend A Claim Based on the Claimant Being Medically Unable to Work
a. Doctor's Opinion
First, the respondent should obtain a contrary physician's opinion through and independent medical examination.
b. Challenge Conclusions of Physician
The respondent should also challenge the conclusions made by the treating or examining physician who asserts that the claimant cannot work.
c. Vocational Assessment
If the claimant's physician asserts that the claimant is medically unable to work, as opposed to outlining medical restrictions, a labor market survey will not be relevant to the defense of the claim. First, the respondent must obtain a contrary medical opinion which establishes that a claimant can work within certain restrictions.C. "Odd Lot" Permanent and Total Disability
1. Introduction
The vast majority of claims asserting permanent and total disability under the Act do not deal with a claimant who (1) suffered an injury causing 100% loss of two body parts or (2) a physician has opined can never return to work. Instead, the vast majority of permanent and total disability claims involve claimants who have been (1) given permanent medical restrictions by a physician and (2) the claimant asserts that they are unable to find work within those restrictions. Under these circumstances, the claimant will assert that he is permanently and totally disabled under the "odd lot" doctrine. Please also note that the "odd lot" doctrine is not found in the Act. Instead, it is a judicially created doctrine.a. Shifting Burden of Proofs
i. Introduction
Under an "odd lot" doctrine, the claimant has the burden to prove that his condition is such that he is unable to perform any services for which there is a reasonably stable labor market.b. Respondent's Burden
Once the claimant establishes that he falls into the "odd lot" category by proving that he is unable to perform any services for which there is a reasonably stable labor market, the burden shifts to the employer to show that some kind of suitable work is regularly and continuously available to the claimant.
III. CALCULATING PERMANENT AND TOTAL DISABILITY CLAIMS
A. Introduction
Since 1975, a claimant who receives a permanent and total disability award from the Industrial Commission receives compensation every week at his permanent and total disability rate (i.e., TTD rate) for life. Obviously, awards of permanent and total disability create substantial exposure for an employer.B. Calculation of Award/Exposure
i. Rate
The rate at which a permanent and total disability claim is the claimant's TTD rate.a. Statutory Minimum Rate
As of July of 2006, the statutory minimum permanent and total disability rate is $411.10. Obviously, in a case involving a petitioner with a low rate, the existence of a statutory minimum permanent and total disability rate can significantly alter the value of a claim by that petitioner for permanent and total disability.ii. Future Cash Value
A future cash value calculation indicates how much an employer can expect to pay in actual dollars over the life of a permanent and total disability claim.a. Formula for Calculating of Future Cash Value
1. First, the claimant's life expectancy can be determined from actuarial tables.
2. Thereafter, the claimant's TTD rate is multiplied by 52 weeks. Thereafter, that figure is multiplied by the claimant's life expectancy.iii. Present Cash Value
The present cash value of a claim for permanent and total disability establishes what the petitioner's claim is worth in today's dollars.a. Formula for Calculating Present Cash Value
1. The present cash value of a claim can be determined by taking the petitioner's permanent total disability rate and multiplying it by 52. Thereafter, the claimant's yearly payout should be multiplied by the present cash value factor correlating to an interest percentage rate based on the petitioner's life expectancy.
b. What Interest Percentage Rate Should Be Used
Since there is no provision in the Act for lump sum settlement of permanent and total disability (the Act indicates that such an award is to be paid out weekly), there is no interest percentage identified in the Act. Therefore, the interest percentage rate used is purely a factor of negotiations between the parties. Generally speaking the present cash value interest rate used is between 6 and 8%.C. Settlement of Permanent and Total Disability Claims
i. Factors Promoting a Lump Sum Settlement of a Permanent and Total Disability Claim
Once a petitioner appears to have a reasonable chance to establish that he is permanently and totally disabled, or once a petitioner receives a permanent and total disability award, there are factors for the petitioner and respondent which promote resolving the matter through a lump sum settlement.a. Factors for Petitioner
A petitioner would prefer to receive a large lump sum amount as opposed to weekly benefits. Furthermore, the lump sum amounts ensures that the claimant will receive that amount, whereas a permanent and total disability award paid weekly would only result in a few weeks of benefits if the petitioner dies.
b. Factors Promoting Employer Settlement
Obviously, in the claims business, a closed file is a good file. Furthermore, the claimant could live well beyond their life expectancy. Lastly, the claimant could develop additional medical problems related to the injury and exposure the employer to additional exposure for medical benefits.ii. Settlement Figure
Traditionally, permanent and total disability claims settle for between 5 and 10 years of actual benefits. When the factors discussed above are considered in the aggregate, both petitioners' attorneys and respondents' attorneys feel comfortable recommending to their clients that permanent and total disability claims settle for between 5 and 10 years of benefits. Obviously, a claim involving an older claimant in poor health will settle for closer to five years of benefits, whereas a claim by a younger claimant in otherwise good health, would settle for closer to 10 years of benefits.iii. Other Factors to Consider in Settlement
a. Disputed Claim
1. Medical Expenses
2. TTDb. Undisputed Claim
1. Future Medical Benefits
2. Vocational Costs
3. Legal Costs
IV. TERMINATION OF PERMANENT AND TOTAL DISABILITY BENEFITS
A. §8(f) of Act
According to the express provisions of §8(f) of the Act, if a claimant returns to work or is able to return to work, the employer can stop paying benefits. In order to avoid a petition for penalties and fees, however, it is recommended that a petition be filed with the Commission asking for an order allowing the termination of benefits, especially in a circumstance in which the employer is relying on the "or is able" language of §8(f) to terminate benefits.
B. Occasional Income Allowed
Case law under the Act clearly establishes that a claimant can be permanently and totally disabled and earn occasional income.
Findgreatlawyers.com helps people looking for Illinois workers compensation attorneys for any area of Illinois. Since 2001 we have been the leading authority to find an Illinois lawyer and obtain legal guidance.
Findgreatlawyers.com focuses on finding lawyers in every part of the state of Illinois. From Chicago to Rockford, to Central Illinois, down to Southern Illinois, and every county in between. Whatever the legal area or location within the state of Illinois, we know the perfect lawyer for you Please call us at (312) 346-5320 or (800) 517-1614 or fill out our contact us form and we will contact you. All inquiries are kept in strict confidence.