Recovering Lost Wages After an Accident in Pennsylvania
When an accident leaves you unable to work, lost wages add financial stress to your physical recovery. Pennsylvania law offers several avenues to recoup income you’ve lost due to injury. Understanding each option can help you choose the right path for your situation.
1. Workers’ Compensation Benefits
If your injuries occurred on the job or in the course of employment, you likely qualify for workers’ compensation benefits. Under the Pennsylvania Workers’ Compensation Act, you can recover two-thirds of your average weekly wage while you are totally disabled. See 77 P.S. § 306 (link). Benefits begin after a brief waiting period and continue until you reach maximum medical improvement or your earning capacity is restored.
2. Personal Injury Protection (PIP) Benefits in Auto Accidents
If a car, truck, motorcycle, or other motor vehicle injured you, you may access no-fault Personal Injury Protection (PIP) benefits under Pennsylvania’s Motor Vehicle Financial Responsibility Law. PIP covers 75% of lost wages up to statutory limits for up to two years. See 75 Pa.C.S. § 1711 (link).
3. Third-Party Liability Claims
If a negligent party (such as another driver, property owner, or manufacturer) caused your injuries, you can file a lawsuit to recover lost wages as part of your compensatory damages. Under 42 Pa.C.S. § 7102(d), Pennsylvania recognizes lost earning capacity as an element of damages when you prove negligence. See 42 Pa.C.S. § 7102(d).
4. Disability Insurance and Government Programs
You may also qualify for benefits under short-term or long-term disability insurance policies, whether provided by your employer or purchased privately. If your disability extends beyond a year, you can apply for Social Security Disability Insurance (SSDI) or Supplemental Security Income (SSI) through the Social Security Administration.
5. Structured Settlements and Lump-Sum Awards
When you settle a claim or win a lawsuit, you can receive lost wages in a lump sum or via structured payments. Structured settlements can spread your recovery over time, providing regular income while managing tax consequences.
Disclaimer
This article is for informational purposes only and does not constitute legal advice. Consult a qualified attorney to discuss your specific circumstances in Pennsylvania.
Helpful Hints
- Document your regular work schedule and income (pay stubs, tax returns) before and after the accident.
- Obtain a physician’s note explaining work restrictions and expected recovery time.
- Notify your insurer promptly when you’ll miss work due to injury.
- Meet all filing deadlines: workers’ compensation claims (within three years), PIP claims (within two years), and personal injury suits (within two years under 42 Pa.C.S. § 5524).
- Keep all medical bills, receipts, and correspondence organized and accessible.
- Consider talking to a personal injury attorney if liability is contested or damages exceed policy limits.