When a worker suffers a job-related injury that results in lasting effects, understanding the permanent disability rating in California workers’ comp becomes essential. This rating directly impacts the benefits an injured employee may receive over time. While temporary disability provides short-term wage replacement, permanent disability is about long-term impairment. This blog explains how the rating is determined, what it means, and how it affects settlements and ongoing benefits under California’s workers’ compensation system.
What Is a Permanent Disability Rating?
A permanent disability rating measures how much an injury limits a worker’s ability to earn a living. In California, this rating is expressed as a percentage. The higher the percentage, the greater the permanent impairment.
For example, a 100% rating typically means the individual is permanently and totally disabled. Ratings below that threshold reflect partial disability, meaning the worker retains some earning capacity but is not fully able to return to their pre-injury role.
The rating isn’t just a label—it guides how much compensation an injured worker may be entitled to, either through biweekly payments or as part of a settlement.
How the Rating Is Calculated
The rating process begins after the worker reaches Maximum Medical Improvement (MMI). This means the condition is stable and unlikely to change significantly. Once MMI is established, a medical evaluator—either the treating physician or a qualified medical evaluator (QME)—assigns an impairment rating based on the American Medical Association (AMA) Guides.
But that’s just the starting point.
California law requires the initial medical impairment to be adjusted for three key factors:
- Age at the time of injury
- Occupation
- Apportionment to prior injuries or conditions
These adjustments are made using the Permanent Disability Rating Schedule (PDRS), a state-mandated formula. Once all adjustments are applied, the final permanent disability rating is established.
This final percentage is what the insurance company and the worker use to determine benefit payments or settlement value.
What the Rating Means for Your Benefits
The permanent disability rating in California workers’ comp directly determines how much the worker will be paid in benefits. Here’s how it works:
- A lower rating (e.g., 5%–25%) results in limited weekly payments over a fixed number of weeks.
- A mid-range rating (e.g., 26%–49%) allows for more extended payments.
- Ratings of 70% or higher make the worker eligible for a life pension, in addition to regular benefits.
- A 100% rating entitles the worker to lifelong payments at the total disability rate.
These benefit payments are not based on how much pain someone is in—they are strictly based on how much function has been lost in relation to the worker’s earning ability.
Permanent Disability vs. Settlement Value
In some cases, a worker may choose to settle their workers’ compensation claim instead of receiving weekly payments. The permanent disability rating becomes a critical figure in calculating that settlement value.
There are two types of settlements:
- Stipulated Findings and Award: The worker receives scheduled weekly payments and keeps the right to future medical care.
- Compromise and Release: The worker receives a lump sum payment and gives up the right to future care related to the injury.
In both scenarios, the rating affects the value of the offer. Higher ratings mean larger settlements, but choosing a settlement also requires the worker to consider long-term medical needs, work options, and financial planning.
Requesting a Second Opinion
If a worker disagrees with the rating assigned by the treating doctor, they can request a panel Qualified Medical Evaluator (QME) from the state. This evaluator offers an independent opinion that may confirm, raise, or lower the original rating.
This step is common, especially in complex cases or when a workers’ comp attorney in Colusa, CA, or another legal professional is involved. Getting the rating right is critical for ensuring fair compensation.
Understanding Ratings and Getting the Right Support
Permanent disability ratings play a major role in determining long-term financial support after a work-related injury. If you or someone you know is dealing with a workers’ compensation claim in Yuba City or needs advice from a compensation attorney in Butte County, CA, understanding this rating is essential.
The rating reflects not just medical opinions, but your age, occupation, and how your condition compares to prior injuries. It sets the groundwork for ongoing benefits or a potential settlement. For anyone facing a serious work-related injury, a rating is more than a number—it influences quality of life and future financial stability.
Need guidance on your permanent disability rating or settlement options? Reach out to The The Law Office of Harley Merritt—an experienced work injury law firm in Glenn, CA, ready to help with your case.
Contact us today.
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