Workers’ compensation is a no-fault insurance plan that pays for work-related injuries and illnesses. Workers' compensation covers:
Medical benefits pay for all reasonable and necessary costs for medical treatment, hospitalization and prescriptions arising from workplace injuries and illnesses. The job provider has the right to choose an authorized doctor or medical facility. The worker can choose a medical provider in cases of an emergency or if the employer refuses to provide medical treatment.
Temporary total disability benefits apply when a worker suffers a work-related injury or illness that disables the worker for more than a week. In New Jersey, the temporary total disability benefit pays 70 percent of the worker’s average weekly wage, not to exceed 75 percent of the respective state average weekly wage. The benefits end when the worker returns to work or has reached maximum medical improvement, which is when no medical treatment would improve the worker’s condition.
Permanent total disability benefits provide 70 percent of workers’ wages while unable to work for up to 450 weeks. After the initial 450 weeks, workers’ continue receiving benefits so long as they can show they no longer can earn wages. Any wages earned after the initial 450 weeks offsets any continued total disability benefits.
Death benefits go to dependents of workers killed due to work-related injuries or illnesses and equal 70 percent of deceased workers’ pay. The benefit is divided among the dependents. A surviving spouse and any natural children living in the household at the time of the deceased worker ‘s death qualify as dependents. Others must prove their actual dependency to receive a portion of the death benefit.