Workers' Comp Settlements in Nebraska

The worker and employer may agree to settle a claim by converting the compensation into one or more lump-sum payments. The settlement must be submitted to the Workers' Compensation Court for approval in certain cases, including when the worker has no attorney, when Medicaid paid medical bills for the injury, when the worker is eligible for Medicare or reasonably expects to be within 30 months, when medical expenses will not be fully paid, or when the settlement commutes benefits due to dependents. The court approves a settlement if it conforms with the compensation schedule and is in the best interests of the worker or dependents; an approved settlement is final unless procured by fraud. In other cases, the worker and attorney file a signed, verified release with the court, and the release becomes effective when the court enters an order of dismissal with prejudice. The settlement must be paid within 30 days of filing the release, and a settlement or release generally ends the employer's liability for the injury, including future medical expenses unless they are specifically excluded.

Total disability benefits (temporary or permanent) are paid during the disability, with no fixed week limit, and stop when the disability ends. Partial disability benefits are paid during the partial disability but not beyond 300 weeks; if total disability came first, the 300 weeks are reduced by the weeks of total disability already paid. For permanent injuries to listed body parts, temporary disability benefits stop once the extent of the permanent disability can be determined, and the scheduled benefit is paid for a set number of weeks (for example, 60 weeks for a thumb or 175 weeks for a hand).

In Nebraska, any attorney fee claim or agreement for services under the Workers' Compensation Act is not enforceable unless approved in writing by a judge of the Nebraska Workers' Compensation Court; once approved and noticed, it becomes a lien on compensation, and the court sets the share of each installment that goes to fees. When an employer refuses or delays payment and the employee receives an award, the court allows a reasonable attorney's fee paid by the employer, which may not be deducted from medical payments or charged to medical providers.