Can I Apply for Workers’ Compensation and Unemployment at the Same Time?

At Silverman, McDonald & Friedman, our team of workers’ compensation attorneys have represented injured clients for decades. If you need legal help with your workers’ compensation or unemployment benefits claim, we can help you secure the financial resources owed to you under the law. Contact one of our attorneys in Newcastle, Wilmington, or Seaford today for a free consultation.

The federal government has established social safety nets to help individuals who have been injured on the job or laid off from employment, leaving them without work for a period of time. Employers must carry workers’ compensation insurance to cover potentially injured employees. Unemployment benefits are provided to individuals who lose their employment through layoff and no fault of their own. However, in Delaware, there are legal obstacles in place to prevent an individual from collecting both of these benefits simultaneously.

State workers’ compensation benefits

Most businesses are mandated by state governments to carry workers’ compensation insurance. This insurance guarantees workers the financial resources they need to cover medical bills related to their injuries incurred on the job. In addition, these injured workers may also qualify for cash reimbursement of any wages they have lost resulting from the injuries.

Unemployment compensation benefits

Unemployment benefits reimburse individuals who are laid off or let go from a job. These benefits are issued from a state program and are provided to employees who work for the employer for a preset period of time. The benefits amount to a weekly cash stipend that helps offset the wage losses incurred by the laid-off employee until he or she is able to find new employment. These benefits are not available to employees who have quit their job of their own free will or refuse to accept a reasonable offer of employment during the course of receiving these benefits.

Collecting worker’s comp and unemployment simultaneously?

Generally, an individual is not eligible to receive workers’ comp and unemployment benefits at the same time. Unemployment benefits provided based on the premise that the individual was let go from his or her job. Workers’ compensation benefits are provided to individuals who are unable to work for medical reasons due to a workplace injury. In other words, if you are unable to work, you are not eligible to receive unemployment benefits; if you are able to work, you are not eligible to receive workers’ compensation benefits.

The question arises: What happens when an injured worker receives unemployment benefits during the same timeframe in which he or she is attempting to secure total disability benefits? Does the injured worker have a right to both unemployment and workers’ comp at the same time? The answer in the State of Delaware is no.

The Delaware Supreme Court, in the case “Munsell Harmon v. F&H Everett & Associates,” was presented with the question of whether workers’ compensation benefits should be reduced according to the dollar value an injured worker is receiving in Delaware’s unemployment compensation system. The State Supreme Court referenced a number of Delaware court decisions that determined that the quantity of any unemployment benefits received by an injured worker should be subtracted from any workers’ compensation benefits provided to the worker. The court indicated that even though the state’s Workers’ Compensation Act envisions providing full compensation, the law was not designed to permit double financial recovery to the injured party.

If you have incurred an injury on the job, get the experience representation you need from our team at Silverman, McDonald & Friedman. We can help you secure the benefits you deserve for your losses. We serve clients throughout Delaware from our offices in Newcastle, Seaford, and Wilmington. Call us today at 302-888-2900 or fill out our contact form to arrange a free consultation.