An Overview of Offsetting Workers’ Compensation Claims To Avoid Double Recovery

Your workers’ compensation claim is affected by any proceeds you may ultimately receive from any third-party claims or additional benefits from pensions or Social Security benefits. In order to avoid double recovery from both your employer’s workers’ compensation and the third-party insurance carrier or Social Security, New Jersey Workers’ Compensation laws provides that the proceeds will act as a credit to the respondent.

If you have been injured during the course of employment and it is likely that you may be receiving compensation from a source other than workers’ comp, you should consult with a New Jersey workman’s comp lawyer in order to avoid liability for double recovery.

Right of Reimbursement

New Jersey Workers’ Compensation statute N.J.S.A. 34:15-40 provides a right of reimbursement for the employer when a worker is injured during and in the course of employment, but due to the negligence of another individual. In other words, if you were injured as a result of a third party’s negligent or reckless conduct while on your employer’s time, the statute provides for an inter-relationship of the monies you can recover in order to avoid double recovery.

Your New Jersey workman’s comp lawyer will walk you through the steps of this statute in order to avoid any complications of the compensation that you ultimately recover from both workers’ comp insurance and the third-party’s insurance carrier.

Set-Off Provision

Under similar New Jersey statutes, the division of workers’ compensation has jurisdiction to set off disability pension benefits against both temporary and permanent disability compensation awards, but not against retirement pension benefits.

Contact Us

If you have been injured during the course of employment and are claiming both workers’ compensation benefits and additional benefits from other sources, you need to consult with a New Jersey workman’s comp lawyer in order to avoid double recovery under New Jersey’s Workers’ Compensation statutes.

For more information or to consult with a New Jersey workman’s comp lawyer, call the Law Offices of Dan T. Matrafajlo at (908) 248-4404.