Personal Injury Lawyer
Reaching the decision that you may need to file for bankruptcy can be disheartening and downright stressful. This is especially true if you have been injured and are enduring the process of obtaining workers’ compensation for an on the job injury. It’s only natural that you will have many questions about how to manage the process for your lawyer:
What is workers’ compensation?
Workers’ compensation is a benefit available to those who have experienced work-related injuries. This can be an attractive option for many because it is a no-fault way of obtaining the support you need in the wake of an accident. Workers’ compensation provides benefits to the injured that may include:
- A portion of your wages
- Medical expenses
- Job retraining
- Disability benefits
Workers’ compensation is mutually beneficial in that it provides victims with the support they need and protects employers from financial ruin. Workers’ compensation is available in all states, but it’s important to keep in mind that laws can vary based on the state you live in, so you must consult with a lawyer.
Why would I need to file for bankruptcy, doesn’t workers’ compensation cover all of my expenses?
It’s important to be aware that just because you are obtaining workers’ compensation doesn’t mean you will have the ability to collect your full income. Generally, you can only receive up to 66 percent of your paycheck when obtaining workers’ compensation. Additionally, you may be stuck with some of your medical expenses. Because of this, it may be challenging to cover your living expenses, which may leave you to consider bankruptcy as a way to wipe the slate clean.
What are the reasons that I may need to file for bankruptcy after a work-related injury?
A work-related injury can be an incredible setback. Not being able to work, only having the ability to collect a portion of your wages, and debilitating pain can have an impact on your ability to cover your expenses. While for some people, financial issues may have been present before the accident, some of the time, filing for bankruptcy may be the result of a work-related injury. It’s important to be aware that if you are considering filing for bankruptcy and are in the process of obtaining workers’ compensation, you will want to speak with your lawyer about the most appropriate way to proceed.
Could a settlement be impacted if I file for bankruptcy?
In some cases, you may be able to obtain a settlement following a worker-related injury. Because of this, you will want to proceed with caution when considering filing for bankruptcy. With so much riding on your legal case, you will not want to risk losing your settlement. Whether you will be able to retain your settlement will depend upon the state you live in and the exemptions that may be available. If settlements are not exempt, the compensation you obtain will become a part of your bankruptcy. However, keep in mind that in some cases, the injury may be the reason for bankruptcy to begin with. Ideally, it would assist you in covering the expenses that put you behind as a result.
To learn more about how a bankruptcy lawyer in Waterbury, CT may be able to help you strategize your case, contact an experienced law firm today.
Thanks to The Law Offices of Ronald I. Chorches for their insight into bankruptcy law and work injuries.