When an employee in New York is injured in a workplace accident or has become ill due to their job, they may file a workers’ compensation claim. There are a few different types of settlements that may take place and it is important to understand the differences between them.

Section 32

A Section 32 Waiver Agreement is when the person who has been injured on the job and an insurance company avoid going to court because they can determine a fair settlement that both parties agree upon. It is important to note that once a Section 32 settlement has been accepted, the claim can never be reopened because the insurance company was released from their responsibility with the injured party’s acceptance of the settlement. When the settlement is for indemnity benefits, the insurance company can stop paying lost wages. When the settlement is for medical benefits, the insurance company can stop paying for medical care.

Lump Sum

A lump sum payment is less popular than it once was because of the Section 32 option. Both parties will agree that the claimant can receive a certain lump sum payment. This is final unless there is a development in the claimant’s injury down the road that didn’t exist when the agreement was made.


A stipulation, also known as a WISK Program, is where the case isn’t closed but issues are resolved. This depends upon the degree of disability, average weekly wage, the rate of benefits and reduced earnings. Once an agreement is made, a judge can approve the terms both parties agreed upon.

Reduced Earnings

When you are disabled, you can receive compensation for not earning the same amount you once did due to your disability’s impact on your work. This rate is 2/3 the difference between your previous average weekly wage and the weekly earnings you have while working after becoming disabled.

The Law Offices of George Poulos is an experienced Workers’ Compensation, personal injury, and Social Security Disability law firm with offices in Queens and the Bronx. If you require strong legal representation, contact our firm today to schedule a free consultation.