Understanding Workers’ Compensation Basics
At Eric M. Nass, Attorney at Law, PLLC, the team understands that navigating the workers’ compensation process can be overwhelming, especially when you’re already dealing with the stress of an injury. That’s why they have put together this comprehensive glossary of common workers’ compensation terms, designed to help you better understand your rights and the process ahead.
With 30 years of experience in workers’ compensation law, attorney Eric Nass is dedicated to providing you with the knowledge and support you need to make informed decisions about your case.
Workers’ Compensation Glossary
Accepted Claim
A claim that the insurance company agrees is valid and will provide benefits for.
Appeal
A legal process to challenge a denied claim or an unfavorable decision by the insurance company or workers’ comp board.
Compensable Injury
An injury or illness that qualifies for workers’ compensation benefits.
Date of Injury
The specific date when the workplace injury occurred or when symptoms of a work-related condition first became apparent.
Denial
When the insurance company refuses to accept your claim or provide benefits.
Disability Benefits
Payments made to replace lost wages when an injury prevents you from working.
- Temporary Total Disability (TTD): You can’t work at all for a period of time.
- Temporary Partial Disability (TPD): You can work, but not at full capacity or hours.
- Permanent Partial Disability (PPD): Your injury has lasting effects, but you can still work in some form.
- Permanent Total Disability (PTD): You’re unable to return to any kind of gainful employment.
First Report of Injury (FROI)
An official form or notice that starts the workers’ compensation process. It must be completed shortly after the injury occurs.
Independent Medical Examination (IME)
An exam requested by the insurance company to get a second opinion on your condition or treatment plan. It is not independent despite the name.
Indemnity Only Settlement
A lump sum settlement that only resolves lost wage benefits or SLU (Schedule Loss of Use) benefits. Medical treatment coverage remains open and the responsibility of the insurance company. Lost time from work not required.
Maximum Medical Improvement (MMI)
The point where your condition has stabilized and is unlikely to improve significantly with further treatment.
Medical Benefits
Coverage for all necessary medical care related to the work injury — including doctor visits, surgery, medication, and physical therapy.
Notice of Injury
The act of informing your employer about your injury or illness. Most states require this to be done within a set number of days.
Occupational Disease / Repetitive Trauma
A medical condition that develops over time due to repeated job-related activities or exposure to harmful substances (e.g., carpal tunnel syndrome, lung disease from chemicals).
Schedule Loss of Use (SLU)
Compensation for permanent loss of function or use of an extremity. You can receive this benefit even if you did not miss any time from work.
Section 32
A lump sum settlement that closes out your workers’ compensation claim.
Settlement
A financial agreement between you and the insurance company to resolve your claim — this may include a lump sum or structured payments.
Statute of Limitations
The legal deadline for filing a workers’ compensation claim. Missing it can result in loss of benefits.
Third-Party Claim
A separate legal claim against someone other than your employer — like a contractor or equipment manufacturer — whose negligence contributed to your injury.
Wage Loss Benefits
Payments that partially replace your income while you’re recovering and unable to work.
WCB Case Number
An indexing number assigned by the Workers’ Compensation Board that identifies your specific case. It usually begins with a “G” followed by seven digits (e.g., G1234567).
Work Restrictions
Medical limitations placed on your work activities after an injury, such as “no lifting over 10 pounds” or “limited standing.”