If you've been injured while working in New Jersey, you might be wondering about your rights under workers' compensation laws, especially regarding your employer’s ability to terminate your workers' compensation benefits. The short answer is that your employer cannot simply "terminate" your workers' compensation benefits as long as you meet the requirements for receiving them. However, there are important details about how workers' compensation works, what your rights are, and when your employer might try to stop your benefits. Understanding these rules can help you protect yourself.
Did Your Benefits Stop? Our Workers’ Compensation Lawyers Can Help.
If you've been injured at work in New Jersey and your workers' compensation benefits have been stopped or delayed, you don’t have to go through this alone. Whether you’re worried about an employer cutting off your medical care or you’re unsure if you’re still eligible for benefits, we’re here to help you understand your rights. Don’t let the stress of denied benefits make recovery harder. Call us at (732) 333-6621 or contact us online for a free consultation. Our workers’ comp attorneys have offices in Freehold, Toms River, and New Brunswick, ready to serve injured workers across the state.
What Is Workers' Compensation in New Jersey?
Workers' compensation in New Jersey covers medical expenses and lost wages for injured workers. In return, employees give up the right to sue their employer for workplace injuries, except in cases of intentional harm.
NJ Statutes § 34:15-7 says that the injured employee can receive benefits without needing to prove negligence on the part of the employer. You don’t need to prove that your employer did something wrong, just that your injury happened while you were working.
Can My Employer Terminate My Workers' Compensation Benefits?
One of the biggest concerns for injured workers is whether their employer can stop their workers' compensation benefits or terminate their contract. According to NJ Statutes § 34:15-11, an employer can terminate the workers’ compensation contract, but this cannot happen suddenly. There must be a written notice given at least 60 days in advance, and the termination must happen before any workplace accident occurs. This means that once you are injured and start receiving workers' compensation benefits, your employer cannot end your benefits by simply terminating the contract. You are entitled to these benefits as long as your injury qualifies under New Jersey law.
If the employer fails to provide the required medical treatment or compensation, you can challenge them through the Division of Workers' Compensation.
When Can Your Benefits Be Stopped?
While your employer cannot terminate your workers' compensation contract on a whim, there are circumstances where your benefits might end. Under NJ Statutes § 34:15-16, your benefits for medical treatment and lost wages run consecutively. This means you receive medical benefits first, then temporary disability benefits if your injury keeps you from working for more than 7 days. After that, once your injury reaches a point of "maximum medical improvement" (MMI)—meaning your condition won't get any better with further treatment—you may be assessed for permanent disability benefits.
However, your permanent disability benefits won't be awarded until at least 26 weeks after your final treatment or return to work. This time frame gives the system enough time to fully assess the extent of your injury and determine what benefits you are entitled to receive. If you recover fully and are able to return to work without restrictions, your benefits might stop. However, if you are permanently disabled, you could continue to receive benefits, according to NJ Statutes § 34:15-12 and NJ Statutes § 34:15-13.
Special Circumstances Where Benefits Might Be Denied or Stopped
There are a few unique situations where your workers' compensation benefits might be denied or stopped, depending on the facts of your case. For instance, if your employer can prove that your injury was caused by your own "willful negligence," as described in NJ Statutes § 34:15-36, your benefits might be denied. Willful negligence could include things like deliberately disregarding safety rules or working while intoxicated.
Also, if you are found to be engaging in activities unrelated to your job that caused your injury—such as horseplay, intoxication, or the use of illegal drugs—your employer might stop your benefits, according to NJ Statutes § 34:15-7.
In addition, if your injury or illness didn’t arise from your job, or you weren’t acting within the scope of your job when the injury happened, your employer might contest your right to workers' compensation.
What If My Employer Sells the Business or Goes Out of Business?
Under NJ Statutes § 34:15-69.1, if your employer sells their business or goes out of business, they can be discharged from further liability, but only if a third party takes over their obligations. This third party must assume all responsibilities for workers' compensation claims, ensuring that you continue to receive your benefits.
In some cases, the insurance company that provides workers' compensation coverage will step in to continue paying your benefits if the employer can no longer do so. Your employer must have insurance in place, and the insurer is directly responsible for making these payments, according to NJ Statutes § 34:15-86.
What Can You Do If Your Employer Tries to Deny or Stop Your Benefits?
Under NJ Statutes § 34:15-15, if your employer refuses to provide necessary medical treatment or pay for your doctors, you can seek medical treatment on your own and make your employer pay for it later. However, you must have first asked your employer for the treatment and been refused. If your employer neglects their responsibilities, the Division of Workers' Compensation can step in and order them to provide the medical care you need.
How Can a Workers' Compensation Lawyer Help?
Navigating workers' compensation claims can be difficult, especially if your employer is trying to deny or limit your benefits. A workers' compensation lawyer can help by:
- Explaining Your Rights: A lawyer can explain the specific laws that apply to your case and ensure you understand what you’re entitled to under New Jersey law.
- Challenging Employer Denials: If your employer denies your claim or tries to stop your benefits, a lawyer can help you file the necessary paperwork and represent you in hearings before the Division of Workers' Compensation.
- Securing Full Benefits: If your injury results in long-term or permanent disability, a lawyer can help ensure you receive the full amount of benefits you deserve under NJ Statutes § 34:15-12 or NJ Statutes § 34:15-13.
- Fighting for Medical Coverage: If your employer refuses to pay for your medical treatment, a lawyer can help you file a petition under NJ Statutes § 34:15-15 to make sure your treatment is covered.
- Assisting With Employer Changes: If your employer sells the business or goes out of business, a lawyer can ensure that your benefits continue through the proper insurance or third-party channels.
If you're struggling to receive the workers' compensation benefits you're entitled to, don’t hesitate to consult with a workers' compensation lawyer who can protect your rights.
Frequently Asked Questions
Can my employer stop my workers' compensation benefits in New Jersey?
No, not without legal grounds like you reaching maximum medical improvement or returning to work.
When do workers' compensation benefits end?
Benefits may stop if you fully recover, return to work, or reach maximum medical improvement.
What does workers' compensation cover in New Jersey?
It covers medical expenses, lost wages, and compensation for permanent injuries from work-related incidents.
Can my employer fire me while I’m on workers' compensation?
Yes, but your workers' compensation benefits will continue as long as your injury qualifies.
What happens if my employer goes out of business?
Their insurance or a third party usually continues paying your benefits.
Can my employer deny benefits if I was at fault?
Yes, if your injury resulted from willful negligence, intoxication, or horseplay.
What is maximum medical improvement (MMI)?
MMI is when your injury is stable and unlikely to improve with further treatment.
Can I get permanent disability benefits after workers' compensation ends?
Yes, if you are permanently disabled, you may receive ongoing benefits.
What if my employer refuses to pay for treatment?
You can seek treatment and petition the Division of Workers' Compensation to order payment.
Workers’ Compensation Attorneys in New Jersey
When you’re hurt on the job, getting the benefits you’re entitled to shouldn’t be a battle, but many workers in New Jersey find their benefits delayed or denied. Whether your employer has tried to stop your payments or you’re facing challenges with your claim, JFM Law is here to offer the support you need. Our NJ workers’ comp lawyers will take the time to understand your situation and fight for the compensation you deserve, so you can focus on healing. Call (732) 333-6621 or reach out online for a free consultation.