Can I receive pre-settlement funding for a workers’ compensation case?
When people suffer an injury at work, they may feel like their lives have been turned upside down. Not only are they dealing with the physical and emotional pain of the injury, but they are also out of work and unable to afford the regular monthly costs of living. While most workers’ compensation cases do eventually result in a financial settlement, the wait can be long and difficult. For many, pre-settlement funding is an attractive option.
Pre-settlement funding is a financial service offered by companies that will provide plaintiffs with an advance against their future settlement or verdict. The advance is essentially a loan, but it does not have to be paid back unless the plaintiff wins their case. If the plaintiff loses their case, then the pre-settlement company does not require any form of repayment.
Pre-settlement funding for workers’ compensation cases is more common than many people realize. It is a popular option for cases involving injured workers who have incurred medical bills or lost wages due to the injury. If a judicial decision is pending, the plaintiff may be able to obtain a cash advance from a pre-settlement funding company.
The process for obtaining pre-settlement funding for a workers’ compensation case is often simple. The plaintiff will need to provide certain documents such as a signed and fully completed agreement, a written declaration from their attorney, and any other required items to the pre-settlement company. This information will be used to determine how much of an advance the plaintiff can receive. Once the documents have been submitted and reviewed, the pre-settlement company will give the plaintiff a quote. If they agree to the quote, the advance is typically sent within 24 hours.
The benefits of pre-settlement funding for workers’ compensation cases are numerous. For starters, it allows the plaintiff to receive money while they are waiting for their case to be adjudicated. This can help alleviate the financial strain of missing work and paying for medical bills. It also allows the plaintiff to keep their case moving forward instead of settling for a lower amount due to their financial situation. Finally, it gives the plaintiff a chance to have their case heard before a jury if they choose to do so, which could result in a larger award than if they had settled out of court.
While pre-settlement funding for workers’ compensation cases can be beneficial, it is important to understand any and all details of the agreement before entering into a contract with a pre-settlement company. It is important to remember that pre-settlement funding is still a loan, so there will be interest and fees associated with this type of service. Additionally, it is important to make sure that the terms of the agreement are fair and in the best interest of the plaintiff.
Ultimately, pre-settlement funding can be a helpful and beneficial option for those who are waiting on a workers’ compensation settlement. It can provide much-needed financial relief during an often difficult and stressful time. However, before entering into a contract with a pre-settlement company, it is important to be fully informed of all the associated fees and interest rates, as well as making sure that the loan is within the plaintiff’s best interests.
