When can rehabilitation benefits be settled?

Rehabilitation benefits can be settled when there is a good faith issue that could potentially affect the employee's entitlement to all benefits. This situation arises if there are challenges regarding the legitimacy of the claim or the employee’s ongoing need for rehabilitation services. In other words, if there are concerns that could lead to a denial of the employee’s rights to receive full benefits—such as evidence of non-cooperation in the rehabilitation process or questions about the validity of the injury—the parties might agree to a settlement.

Settling in this context allows both the employee and employer to resolve uncertainties that may disrupt the benefit process. It can be advantageous for the employer to limit their financial exposure and for the employee to secure agreed-upon benefits despite the doubts about their claim.

In contrast, settling based on the employee being ready to return to work typically pertains to the conclusion of benefits rather than a preemptive settlement. Disputes about medical bills concern payments and do not by themselves provide grounds for settling rehabilitation benefits. An early settlement agreement between the employer and employee may also not involve factors that pertain directly to rehabilitation benefits being settled under circumstances of good faith issues.