There are four different types of income benefits. However, all income benefits, except impairment income benefits, serve to replenish money lost due to an individual’s work-related illness or injury.
Supplemental Income Benefits (SIBs)
Four things must occur for an employee to be eligible for SIBs in the state of Texas. First, the individual must have an impairment rating of 15% or more. The employee must not have returned to work or be earning less than 80% of their average weekly wages due to work-related illness or injury. Third, an employee must show that he or she is actively looking for work. Finally, an employee is unable to accept a lump sum payment for injury if they wish to receive supplemental income benefits. SIBs are generally 70% of the difference between an employee’s average weekly wage and the amount an employee can earn after suffering from the work-related illness and/or injury. Additional conditions may apply to receive SIBs. The Texas Department of Insurance, Division of Worker’s Compensation (DWC) will help an individual apply for the first quarter of SIBs and let him or her know if they qualify.
Temporary Income Benefits (TIBs)
This type of benefit is paid to an employee who loses all or part of their wages for more than seven days due to a work-related illness or injury. An individual may be paid TIBs for more than one employer if the employee holds multiple jobs. TIBs are generally 70% of the difference between an employee’s average weekly wage and the amount an employee can earn after suffering from the work-related illness and/or injury. TIBs are terminated when one of the following conditions are met: A time-lapse of 104 weeks from the date of an employee’s eighth day of disability has occurred. The date an employee can earn the same amount of average weekly wages before their work-related injury or illness. Or, if an employee reaches maximum medical improvement, TIBs cease.
Impairment Income Benefits (IIBs)
If an employee reaches maximum medical improvement, he or she may be eligible for IIBs. An Impairment Rating is assigned to an individual by their doctor or healthcare provider. This “rating” gauges the degree of permanent damage caused to your body by the work-related illness or injury. This Impairment Rating determines your eligibility and amount of IIBs.
Lifetime Income Benefits (LIBs)
Lifetime Income Benefits or LIBs are received for an employee’s entire life due to extremely serious work-related injuries or benefits. A few of the reasons an individual could receive these benefits include the loss of sight in both eyes, loss of both hands at or above the wrist, or a physically traumatic injury to the brain that leads to incurable insanity, etc. These benefits are 75% of the injured individuals’ average weekly wages and increase by 3% each year.
Another type of workers’ compensation benefits is medical benefits. These benefits are used to pay for any reasonable and/or necessary medical care that arises as a result of work-related illness or injury.
Burial benefits are used to cover the expenses of an employee’s funeral who is deceased due to a work-related illness or injury. These benefits are paid to the individual who paid for the employee’s funeral expenses.
Death benefits assist a family’s financial loss that arises when an employee dies due to work-related illnesses injuries. Specifically, if you are married to a first responder on or after September 1, 2017; you could be eligible for death benefits for life even if you remarry.
If you have questions about benefits, call 800-252-7031 Ext. 1.
Benefits are authorized by Texas Labor Code (TLC) Sections 408.081-408.187
Payment of Income or Death Benefits
There are three ways by which an employee or a beneficiary may be paid income or death benefits:
- By a check.
- By an electronic funds transfer (EFT)
- By the access card program. It is important to note that to receive payment of benefits by way of an access card program, both you and the insurance carrier must agree in writing to utilize the access card program. It is not possible to utilize the access card program to receive payment of income or death benefits without this mutual agreement.
All in all, there are several types of workers’ compensation benefits. Each type of benefit is unique to a worker’s case. It is always best to consult a professional when determining which type of benefit is best for your situation.
Sandoval Law Firm, PLLC helps injured workers and their families. Call (346) 347-7777 for a free and informative consultation!