Under Section 32 of the New York State Workers’ Compensation Law, an insurance carrier and claimant, upon approval of the Workers’ Compensation Board, may settle outstanding issues in any claim.
Usually a Section 32 agreement will include a one-time payment in full satisfaction of any ongoing indemnity benefits that a claimant may be entitled to. This means that a person’s weekly compensation checks will usually end in return for a one-time payment.
The terms of the settlement agreement will indicate when the weekly checks end. Usually, the settlement agreement will provide that the indemnity payments will end at the date of the hearing where the settlement is provisionally approved or when the notice of approval is filed by the Workers’ Compensation Board.
It is always better to try to negotiate settlement terms that include weekly benefits up until the date of the notice of approval which will usually allow a claimant an additional 2 to 3 weeks of benefits prior to receipt of their final settlement check.