By Aili Obandja, Esq.
A permanent impairment rating helps determine the amount of your permanent partial disability benefits. The rating measures lasting medical loss caused by your work injury.
What Does the Percentage Mean?
Permanent partial impairment generally is rated as a percentage of the whole person.
For more about the examination and rating process, see my related blog, What Is a Permanent Impairment Evaluation in a Vermont Workers’ Compensation Case?.
How Is the Payment Calculated?
The applicable formula converts your impairment percentage into a number of weeks of benefits. That number is multiplied by your weekly compensation rate to calculate the payment. The weekly rate generally is two-thirds of your average weekly wage, subject to minimum and maximum rates—not your full weekly wage.
Formula: Whole-person impairment percentage × applicable weeks multiplier × weekly compensation rate = benefits before applicable adjustments.
Vermont uses different weeks multipliers for spinal and non-spinal impairments:
Non-spinal impairment: multiply the whole-person impairment percentage by 405 weeks under Rule 10.1400.
Spinal impairment: multiply the whole-person impairment percentage by 550 weeks under Rule 10.1500.
Both spinal and non-spinal impairment: calculate the weeks of benefits separately using 550 weeks for spinal impairment and 405 weeks for non-spinal impairment, then add the resulting numbers of weeks together under Rules 10.1510–10.1512.
When more than one non-spinal impairment is involved, Rule 10.1410 uses the AMA Guides’ combined-values method rather than simply adding the percentages.
Your permanent partial disability benefit calculation must follow the law applicable to your claim and account for any required credit for previously paid permanent impairment.
Impairment Is Different From Work Capacity
An impairment rating does not, by itself, establish:
Whether you can return to your former job;
Whether you have permanent work restrictions;
Whether you have lost wages; or
Whether vocational rehabilitation is appropriate.
A low impairment rating does not mean you have few or no work restrictions. Similarly, a higher rating alone does not determine whether you can return to work. The rating measures medical impairment, not loss of earning capacity.
What If Physicians Disagree About Your Rating?
The impairment percentage affects your total payment. If physicians disagree about the rating, ask your physician to explain the difference and consult an attorney before agreeing to the percentage used to calculate your benefits.
Check Your Benefit Calculation
Your impairment rating is only one part of the benefit calculation. Before agreeing to a proposed permanent partial disability payment, review the rating, compensation rate, calculation, and any claimed credits.
Review:
The accepted work-related conditions included in the rating;
The whole-person percentages assigned to each relevant component;
Your weekly compensation rate;
The payment-period calculation;
Any credit claimed for previously paid permanent impairment; and
Any proposed permanent partial disability agreement and its effect on your rights.
An accurate medical rating does not guarantee an accurate payment calculation. Check both.
Get Help Reviewing Your Benefits
I represent injured workers in Vermont workers’ compensation matters. I can review your impairment rating, benefit calculation, and proposed permanent partial disability agreement. Call 802-556-3582 to discuss your claim.
This blog provides general information, not legal advice. Reading it does not create an attorney-client relationship. Your rights depend on the facts, medical evidence, applicable law, prior agreements or orders, and deadlines. Consult an attorney about your claim.
