Can You Apply for Unemployment While Waiting for Workers’ Compensation?
You can apply for unemployment benefits while waiting for a workers’ compensation claim to be resolved. In Pennsylvania, injured workers may be eligible for unemployment if they are able to perform some type of work but are unable to return to their pre-injury job. While you generally cannot receive full unemployment and workers’ compensation wage loss benefits for the same period, unemployment benefits can provide financial support while your workers’ compensation case is pending.
What Happens If Your Workers’ Compensation Claim Is Denied?
If your Pennsylvania workers’ compensation claim is denied by the insurance carrier, your attorney will need to file a Claim Petition. This petition brings your case into Workers’ Compensation court so we can pursue your lost wages and medical expenses.
Litigation can take time — on average about a year. Learn more about how long a workers’ compensation case takes »
We know not everyone can go without income for that long. That’s why many injured workers ask whether they can apply for unemployment compensation benefits while waiting for their case to be resolved.
Can You Receive Unemployment Benefits and Workers’ Compensation?
Under Pennsylvania law, an injured worker can apply for unemployment benefits. If your Claim Petition is later successful, your employer’s insurance carrier may take a credit for the net unemployment benefits you received.
The important thing to understand: filing for unemployment does not prevent you from receiving workers’ compensation benefits.
When you apply for unemployment, you must certify that you are available and able to work. This does not mean you are admitting you are not injured. It means that although you cannot perform your pre-injury job, you may be capable of doing other work in a lighter capacity.
Example: Applying for Unemployment After a Work Injury
Imagine you work as a carpenter and suffer a serious leg injury on the job.
Because of your injury, you cannot perform your regular carpentry duties. Your workers’ compensation claim is denied, and your employer does not have a light-duty position available.
In this situation, you may be eligible to apply for unemployment benefits while your workers’ compensation claim is being litigated.
If your workers’ compensation claim is later successful, you may receive retroactive wage-loss benefits and medical coverage.
Can You Receive Both Unemployment and Workers’ Compensation Benefits?
Not in full. Pennsylvania law generally prevents injured workers from receiving a double recovery for the same period of lost wages.
If you receive unemployment benefits while your workers’ compensation case is pending and later win your case, the workers’ compensation insurance company may receive a credit for certain unemployment benefits that were paid during that same period. The important point is that applying for unemployment does not automatically disqualify you from receiving workers’ compensation benefits.
Should You Apply for Unemployment While Waiting for Workers’ Compensation?
The answer depends on your individual circumstances.
Factors that may affect the decision include:
- Your medical restrictions
- Whether your employer has light-duty work available
- The status of your workers’ compensation claim
- Your ability to perform other types of employment
Because every case is different, it is important to discuss your situation with an attorney before making decisions that could affect your benefits.
Talk to a Pennsylvania Workers’ Compensation Lawyer
If your workers’ compensation claim has been denied, you may have options while your case is pending. Understanding the relationship between unemployment benefits and workers’ compensation benefits can help protect your financial interests and avoid costly mistakes.
At Stern & Cohen, we help injured workers throughout Pennsylvania pursue workers’ compensation benefits and navigate denied claims. We can review your case, explain your options, and help you determine the best path forward.
Contact Stern & Cohen today for a free consultation.
FAQs
Can I collect unemployment while waiting for workers' compensation in Pennsylvania?
Yes, in many situations you may be able to collect unemployment benefits while a workers’ compensation claim is pending, particularly if you are capable of performing some type of work but cannot return to your pre-injury job.
Does applying for unemployment hurt my workers' compensation case?
Not necessarily. Applying for unemployment does not automatically prevent you from pursuing workers’ compensation benefits, but the circumstances of your claim should be carefully evaluated.
What happens if I win my workers' compensation case after receiving unemployment?
The workers’ compensation insurance company may be entitled to a credit for certain unemployment benefits paid during the same period covered by workers’ compensation wage-loss benefits.
What if my workers' compensation claim was denied?
You may be able to file a Claim Petition and pursue benefits through the Pennsylvania workers’ compensation litigation process.