Temporary disability benefits are a crucial part of Arizona’s workers’ compensation system. These benefits cover employees’ wages while recovering from a workplace injury or illness.
Zero Taxes on Temporary Disability Benefits
Workers’ compensation benefits are not taxable. This exemption includes temporary disability payments.
Wrongful Termination While I’m on Temporary Disability
Arizona is categorized as an “at-will” employment state. This means that your employer may terminate your employment for any valid cause. But it is illegal to terminate someone just for filing a workers’ compensation claim or being on temporary disability leave.
Working While Receiving TTD Benefits
You are eligible to receive Temporary Total Disability (TTD) benefits when your doctor has declared that you are completely unable to work. Do not work while receiving TTD benefits. You should wait for your doctor to clear you. This could lead to termination of your benefits or even legal penalties.
Denied or Stopped Temporary Disability Benefits
You may appeal the decision for denied, reduced, or stopped benefits through the Industrial Commission of Arizona.
Upon receiving a denial notice from the Industrial Commission of Arizona (ICA) or your employer’s insurance company, you must act promptly by filing a Request for Hearing with the ICA within 90 days. This initiates the formal appeals process, wherein your case will be reviewed by an Administrative Law Judge (ALJ). The ALJ will schedule a hearing, typically about 90 days after receiving your request, during which you have the opportunity to present evidence and testimony to support your claim. The judge will then make a decision based on the presented information. If the ALJ rules in your favor, your benefits may be reinstated or awarded. However, if the decision is still unfavorable, you have further options to appeal to higher courts. Therefore, speaking with a workers’ compensation attorney will help you navigate this process and ensure your rights are protected.
In Arizona, temporary disability benefits guarantee that injured or ill workers can continue to have a stable income while they recover. The protocol balances the need for accountability, claim verification, and staff assistance.
