Permanent Partial Disability (PPD)

After an injured worker reaches maximum medical improvement, there may be permanent impairment of the injured body part. With some exceptions, a financial award may be paid upon closure of the claim. (Many people refer to this as a “settlement”.)

An attending physician, or an Independent Medical Examiner will conduct a rating examination, typically at the very end of the claim. This rating is used to determine the amount of financial compensation that an injured worker may be entitled to.

Some exceptions do apply: For example, an injured worker is not entitled to a PPD award if they are found to be permanently and totally disabled and therefore entitled to a pension. Additionally, if a permanent impairment is awarded for a specific body part (for example an upper extremity) and there is a subsequent new injury, the impairment for the newer injury may be reduced by the prior PPD award.

The amount of PPD award is set by state statute, as well as federal guidelines for rating impairments.