Workers Compensation Payments in Iowa: What You Need to Know

If you or a loved one has been injured on the job in Iowa, navigating the workers' compensation system can be overwhelming. Many injured workers are unsure of their rights, how long benefits last, and why their workers' compensation payments may stop.

What Are Workers' Compensation Payments?

Workers compensation payments are financial benefits provided to employees who suffer work-related injuries or illnesses. In Iowa, workers' compensation covers medical expenses, lost wages, and permanent disability benefits. These payments help injured workers recover while maintaining financial stability. The main types of workers' compensation benefits include:

Temporary Total Disability (TTD) Benefits

TTD benefits are provided to employees who are completely unable to work due to a work injury. These payments continue until the worker reaches maximum medical improvement (MMI), meaning they have recovered as much as possible.

Temporary Partial Disability (TPD) Benefits

If an injured worker can return to work but at reduced hours or wages, TPD benefits help cover the difference between pre-injury wages and current earnings.

Permanent Partial Disability (PPD) Benefits

PPD benefits compensate injured employees who have sustained a permanent impairment but can still work. The amount and duration of these payments depend on the type and severity of the injury.

Permanent Total Disability (PTD) Benefits

PTD benefits apply when an injured worker is permanently unable to return to any gainful employment. These payments may continue for life, depending on the severity of the disability.

Medical Benefits

Workers' compensation insurance is required to cover medical expenses related to a work injury. This includes doctor visits, surgeries, medications, physical therapy, and mileage reimbursement for travel to medical appointments.

Why Do Workers' Compensation Payments Stop?

Workers' compensation payments do not last forever. There are several reasons why an injured worker’s benefits may stop, including:

You Have Been Paid in Full – Once the insurance company has fulfilled your impairment rating or industrial disability payments, benefits may cease.
Returning to Work – If you return to work, your TTD benefits will stop. However, you may still qualify for PPD or TPD benefits if you are earning less due to the injury.
Reaching Maximum Medical Improvement (MMI) – When a doctor determines that you have healed as much as possible, TTD benefits stop, and an impairment rating may be assigned for PPD benefits.
Denial of Claim – The insurance company may stop payments if they dispute the claim, often based on an Independent Medical Examination (IME) or a records review stating that your condition is not work-related.
Missed Medical Appointments – If you fail to attend an IME or other required medical appointments, your benefits may be suspended.
Voluntary Settlement – If you settle your claim, you may receive a lump sum payment, but ongoing medical benefits could be forfeited.
Employer Misconduct Allegations – If you are terminated for cause or refuse light-duty work offered by your employer, the insurance company may use this as a reason to stop payments.
Failure to File a Claim in Time – In Iowa, you typically have two years from the date of injury or three years from the last workers' compensation payment to file a claim. Missing this deadline can result in a loss of benefits.

How to Protect Your Workers Compensation Payments

1. Keep Detailed Records

Document all medical treatments, communications with your employer and insurance company, and any missed workdays. Keeping thorough records can help you dispute a wrongful termination of benefits.

2. Follow Medical Advice

Attend all medical appointments and follow your doctor's recommendations. Missing visits or failing to comply with treatment plans may give the insurance company a reason to stop your payments.

3. Consult a Workers’ Compensation Attorney

If your payments stop unexpectedly or you believe you are not receiving the full amount you are owed, an experienced workers’ compensation attorney can help. Legal representation is especially important if your case involves an IME dispute, a denied claim, or a potential settlement.

4. Understand Your Rights

Many injured workers are unaware of the full range of benefits available to them. Our book, Iowa Workers' Compensation: An Insider’s Guide to Work Injuries, explains how to avoid common mistakes and maximize your benefits. We offer this resource at no cost to Iowa workers.

Can Social Security Benefits Impact Workers Compensation Payments?

Yes, receiving Social Security benefits can affect your workers' compensation payments. If you receive Supplemental Security Income (SSI), any workers' compensation payments will reduce your benefits. For those receiving Social Security Disability Insurance (SSDI), the total amount of benefits cannot exceed 80% of your highest annual earnings in the five years before your injury. Proper settlement language is crucial to avoid excessive reductions in benefits.

What to Do If Your Workers Compensation Payments Stop

If your workers' compensation payments stop, follow these steps:

Check If You Were Paid in Full – Verify whether your impairment rating benefits have been exhausted.
Review the Reason for Termination – If you received an Auxier notice (Iowa Code § 86.13), it should state why benefits are stopping.
File for Unemployment (If Applicable) – If you are no longer receiving TTD benefits but cannot return to work, consider applying for unemployment.
Consult an Attorney – If you believe your benefits were wrongfully terminated, legal assistance is critical. We can review your case at no cost.

Contacting a Work Injury Lawyer in Iowa

This is just a partial list of things that you should avoid doing while pursuing a workers comp. claim in Iowa. To learn more about Iowa work injuries including how you can avoid 7 Deadly Mistakes then request a copy of Iowa Workers’ Compensation Guide- An Insider’s Guide to Work Injuries. Our book includes the Iowa Injured Workers’ Bill of Rights and much more.

We offer our book at no cost to you because we have seen too many hardworking medical providers and other Iowa workers get taken advantage of by greedy insurance companies. There is no risk and your information will remain confidential so claim your copy now before you make a costly mistake in your work injury case. Finally, you can learn about Iowa work injury laws in the comfort of your own home. If you need immediate assistance, call us at 641-792-3595 (phones are answered 24/7) or Contact Us Here.