November 30, 2016
In Wisconsin, reimbursement of worker’s compensation liens is calculated based on a standard formula. From the start of our claim, I maintain contact with the workers’ compensation provider so that I am consistently updated as to the worker’s compensation lien amount. At the completion of your case, you will be required to complete and file a Third Party Proceeds Distribution Agreement. You will not only need to know the total lien amount but will need to know how it is broken down between medical and indemnity payments. On my Subro Settlement Memo I will make a notation that shows that it is a worker’s compensation lien, and along with the memo, I provide a copy of the Third Party Proceeds Distribution Agreement so that the attorney can quickly run the numbers as they will apply to the worker’s compensation lien. Once the case has settled, you will need to the Third Party Proceeds Distribution Agreement completed, signed by the worker’s compensation attorney and the client. It then gets filed with the Department of Workforce Development by approval by an Administrative Law Judge. I am fortunate to have my office located near the DWD and have the luxury of walking the form over for review and signature of the on duty Administrative Law Judge. If you do not have the luxury, you can mail it in being sure to enclose a self-addressed stamped envelope for return of an executed copy. Once it is completed, then copies need to be provided to all counsel, including the defense counsel so that they may know the worker’s compensation issue has been resolved.