Employee Impairment Benefits

Many clients find the process of applying for Impairment Benefits to be a confusing one.

As with all Workers Compensation benefits, subtle differences in thresholds apply across jurisdictions, but in most cases the process is very similar.

What is Impairment Benefits

If your staff have a work-related injury or illness that  resulted in a permanent impairment they may be entitled to a lump sum payment called an impairment benefit.

An impairment benefit payment is separate from any compensation for lost income and medical expenses and they need to meet certain thresholds to be eligible.

Examples of a permanent impairment can include:

·         reduced shoulder movement

·         a spinal cord injury

·         an amputated finger

To be eligible for an impairment benefit an injured worker would need to have their injury or illness properly assessed once the condition is stable. Assessments are conducted by doctors called Independent Impairment Assessors that are specially trained in assessing injuries according to specific guidelines.

Injured workers must wait until 12 months after the date of  injury, unless the injury stabilizes before then. An injury is considered 'stable' if its effects are not expected to change significantly over time or after further treatment. Eligibility requirements include being  at least 18 years of age before the impairment benefit claim can be determined. Impairment is measured using the American Medical Association's Guides to the Evaluation of Permanent Impairment. The Guides provide specific instructions in medical terms about how to measure the extent that an injury has affected an individuals body movements, systems or functions.

As your trusted advisor, AB Phillips’ People Risk Solutions team can guide you through the process and help you as an employer to minimize claims costs on your Workers Compensation policies.

For support and assistance, please contact our team of advisors at AB Phillips, Monday to Friday between 9:00 am and 5:00 pm AEST by phone on 1300 208 828 or email advice@abphillips.com.au