Stephen T. Harper

$2.5 Million Settlement (plus lien waiver of $1,666,667)

Client, 43, was involved in a significant head-on collision in July 2016 while operating a front-end loader trash truck. As a result of the accident, claimant suffered a traumatic brain injury, broken sternum, broken clavicle, broken ribs, spinal cord injury, scalp laceration, ear laceration and concussion. The claim was ultimately accepted as compensable. The carrier paid the claimant temporary total from the date of the accident until the date of settlement. Because the client needed home health care, claimant’s counsel was able to get the carrier to agree to pay the wife a weekly stipend to provide home health care to the claimant. Ultimately as a result of mediation, the carrier settled the case with claimant for a lump sum settlement of $2.5 million. The lump sum is being used to fund a variety of annuities providing the claimant with an upfront cash payment of just under $1 million along with annuities paying the client a monthly stipend for medical, home health care and daily expenses that is guaranteed for 30 years or the claimant’s life, whichever is longer. In addition, although the claimant had not qualified for SSDI yet and had not applied, the parties as a condition of settlement got the carrier to fund a voluntary MSA equal to the value of the carrier’s life care plan which is also funded as an annuity with payments for the claimant for 30 years guaranteed or for his life, whichever is longer. The claimant is married and has three minor children who were still dependent on him at the time of the accident. At the time of the settlement, the carrier had paid in medical costs and lost wages a total of over $790,000. And as a condition of settlement the carrier retains the lien for payments through the date of settlement against a related third-party personal injury case, however the $2.5 million paid for the workers’ compensation settlement was not added to the lien against the third-party personal injury case. The claimant still has a viable third-party personal injury case with insurance coverage of $2 million available in that case plus excess exposure against the tortfeasor’s employer. The lien waiver represented an additional value to the client out of the personal injury recovery of up to $1,666,666.00. Based upon our review of the Virginia Lawyers Weekly archives, we believe this to be the third largest reported workers’ compensation settlement in Virginia.