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Claim Resolution Settlement Agreements

Rules

  • RCW 51.04.063: Injured worker options—Claim resolution settlement agreements
  • WAC 263-12-052: Contents of claim resolution settlement agreement

Filing

Applications for approval of settlement agreements must be filed using the BIIA's electronic filing system. The application sets forth the information necessary to timely process a request for approval. Applications received by any other method will not be considered.

Public Disclosure

All information related to settlement agreements submitted to the BIIA under RCW 51.04.063, other than final orders from the BIIA and final agreements provided solely to the Department, is exempt from public inspection and copying under the Public Records Act. RCW 42.56.230

Periodic payment calculation chart

RCW 51.04.063(2)(c)(ii) requires that a claim resolution settlement:

"At the option of the parties, either be paid out in a single lump sum or be paid on a structured basis, the agreement shall provide a periodic payment schedule to the worker equal to at least twenty-five percent but not more than one hundred fifty percent of the average monthly wage in the state pursuant to RCW 51.08.018, except for the initial payment which may be up to six times the average monthly wage in the state pursuant to RCW 51.08.018;"

The following chart may help parties seeking to comply with these requirements:

Effective 7/1/24 - 6/30/25

RCW 50.04.355. Average annual wage set by Employment Security Department = $ 89,138
[Effective 7/1/24 - 6/30/25]

 Divide by 12 for average monthly wage "AMW" [RCW 51.08.018] = $7,428.17
25% AMW ≤ periodic payment ≤ 150% AMW A periodic payment cannot be less than $1,857.04 or more than $11,142.26
Initial payment exception = 6 times AMW First payment cannot be more than $44,569.02

Effective 7/1/23 - 6/30/24

RCW 50.04.355. Average annual wage set by Employment Security Department = $ 84,167
[Effective 7/1/23 - 6/30/24]

 Divide by 12 for average monthly wage "AMW" [RCW 51.08.018] = $7,013.92
25% AMW ≤ periodic payment ≤ 150% AMW A periodic payment cannot be less than $1,753.48 or more than $10,520.88
Initial payment exception = 6 times AMW First payment cannot be more than $42,083.52

Information for self-represented injured workers

If you do not have legal representation you will attend a conference with an industrial appeals judge and a representative for the employer or L&I. At the conference, you will be placed under oath, and the judge will ask questions to ensure that you:

  • Have a thorough understanding of the terms of the agreement.
  • Understand the legal rights you will relinquish in the event the agreement is approved.
  • Have entered into the agreement knowingly and voluntarily.

The judge will also determine whether the agreement is in your best interest. You may be asked questions about your age, marital status, education, employment, health, medical treatment, financial status, income, legal obligations such as child support, and negotiations concerning the agreement.

If the judge does not approve the agreement, he or she will issue an order listing the reasons why. That decision cannot be appealed, but a revised claim resolution settlement agreement correcting the problems may be filed. If the judge recommends approval of the agreement, it will be sent to the BIIA's three Board Members, who will make the final decision approving or rejecting the proposed agreement.