Frequently Asked Questions

What is the Department of Labor & Industries (L&I)

The Department of Labor & Industries is a Washington State agency that administrates the state’s workers' compensation system. L&I can be thought of as a large, publicly funded insurance company that pays for benefits associated with work injuries and occupational diseases. Most Washingtonians pay into the L&I workers compensation system as a tax taken from each paycheck. If your employer is not self-insured, then your benefits will be administered by L&I. You pay for these benefits—use them! 

 

Am I covered by L&I?

The vast majority of Washington workers are covered by L&I. Employers are required to provide L&I to coverage to their employees. This includes, undocumented immigrants, part-time workers, temporary workers, and workers paid in cash. However, you will not be covered by L&I if you are are federal employee, a maritime worker (longshoreman, ship builder, or dock worker), or an independent contractor or sole proprietor who has not opted in to coverage. 

What can I get from a workers' compensation claim?

Depending on the facts of your case, you may be entitled to the following:

1. Medical Treatment

2. L&I Time Loss

3. L&I Loss of Earning Power 

4. L&I Permanent Partial Disability 

5. L&I Pension

6. L&I Vocational Retraining Services 

7. L&I CRSA

8. Sidebar Settlement 

 

Can I treat with any doctor on my L&I claim? 

You are entitled to choose what doctor you treat with on your L&I claim. However, the doctor providing treatment must be in the L&I provider network. Becuase L&I benefits often hinge on medical determinations, it's very important to have supportive doctors you can trust in your corner. You can look up whether a particular doctor is in the L&I network here. 

 

Does Workers' Compensation pay for medical treatment? 

L&I or your Self-Insured Employer (SIE) will (or should) pay for medical treatment for conditions that are causally related to your industrial injury or occupational disease. L&I or your SIE might unreasonably deny you necessary and proper treatment for your related conditions. If you receive an order denying conditions or treatment, you must protest it to protect your rights. 

 

Does Workers' Compensation pay time loss or lost wages? 

Yes. L&I or your SIE must pay you time loss compensation (lost wages) when your claim related conditions render you incapable of working gainful employment.  Time loss is paid until L&I or your SIE shows you are capable of working gainful employment with your restrictions. 

 

How much does time loss pay? 

Generally, injured workers are entitled to 60-75% of their wages at the time of injury. The amount you receive starts at 60% of your wages at the time of injury, but may increase 5% if you are married, and an additional 2% for each dependent child you have, up to five children. 


Unfortunately, there is a maximum time loss rate. For injuries or diseases occuring after July 1, 1996, the maximum time loss rate an injured worker can receive per month can be no more than 120% of the statewide average monthly wage. As of June 2025, the maximum time loss rate is arounf $8,913.80 per month. 

 

Do I pay taxes on L&I income and benefits?

No. Your Washington workers' compensation time loss is not taxable pursuant to 26 U.S.C. 104(a)(1)

 

What is a Self-Insured Employer (SIE)?

Some employers are self-insured. With an SIE, work injury claims are managed by the employer or its self-insurance service company (Sedgwick, Penser, Gallagher-Bassett, etc.). SIEs are typically larger companies who self-insure as a means of saving money. SIEs are generally more difficult for injured workers, and they are more stubborn when it comes to giving injured workers the benefits they are entitled to.

 

Is there a deadline to file my workers’ compensation claim?

Yes. The deadline for filing a workers' compensation claim is different for industrial injuries and occupational diseases. For an industrial injury, you must file your claim within one year of the date of injury. For an occupational disease, you must file your claim within two years of (1) having notice from a doctor of the existence of your occupational disease and (2) having notice that a claim for disability may be filed. Any claim for workers’ compensation after this deadline will be barred.

 

What is an Independent Medical Examination (IME)?

An independent medical examination, commonly abbreviated to IME, is a medical exam requested by L&I or your SIE. An IME is supposed to be an objective medical exam in which an unbiased doctor determines the status of your work-related conditions. However, that is not the reality of IMEs.

In almost all cases, L&I or your SIE schedules you for an IME to deprive you of some workers’ compensation benefit. IMEs operate as means for L&I or your SIE to obtain a medical opinion that is adverse to your claim. The IME doctor’s opinion is bought and paid for by the insurer (L&I or your SIE). Many injured workers are found to be at maximum medical improvement (MMI) by the IME doctor, which can result in a premature closure of their claim. This is wrong—Fight back. Contact our office if your recent IME resulted in a negative development in your claim.

 

Can I sue my employer for a work injury?

No. Generally, you may not sue your employer directly for your work-related conditions following an industrial injury or an occupational disease. However, you may sue your employer if you were injured intentionally, you have an employment law claim, or you are a temporary agency employee. This does not mean you may not sue a third party who is liable for causing your injuries while at work. Instead of suing your employer, the Industrial Insurance Act allows you to file a claim with the Washington State Department of Labor and Industries.

 

Can I have a third-party claim and a worker's compensation claim?

Yes. If a third party causes you to become injured at work either negligently or purposefully, you may pursue a third-party personal injury claim against that party while maintaining your L&I claim simultaneously.  

For example, if you work on a job site with several different general contractors and a non-employer contractor causes your injury, you may sue the non-employer contractor for damages including pain and suffering while maintaining and workers’ compensation claim.  

 

Can I reopen my workers’ compensation claim?

Yes. You can reopen your L&I claim for both medical and monetary benefits (time loss compensation or pension) within seven years of claim closure. However, after seven years, you may only reopen your claim for medical benefits. You generally must show that your condition has worsened with objective medical findings to reopen your workers’ compensation claim.

 

Can I receive social security disability and time loss at the same time?

Yes. You can receive both social security disability (SSD) and workers’ compensation time loss at the same time. However, the benefits are generally offset, meaning either L&I or SSD will take a reduction in the amount it pays you. Some injured workers get both benefits without offset. This include the following: (1) injured workers who applied for social security retirement benefits prior to the date of injury, (2) injured workers who were receiving social security benefits prior to date of injury, and (3) high wage earners according to the SSA ACE calculation. Outside of the exceptions above, the benefits will be offset if the total combined benefit of both L&I time loss/pension and SSD is higher than 80% of the injured worker’s ACE (average yearly earnings)

 

Do I need a Workers' Compensation attorney? 

Workers' Compensation claims are very complicated and can require a great attention to detail and high level of strategy. That being said, not all injured workers need an attorney. There is no steadfast rule for whether you need a lawyer, and we are always able to add value to your claim. You should get an attorney if you sense your claim heading for closure prematurely, your claim has been denied, you have a complex injury that might lead to long-term disability, your employer or L&I is being unreasonable, or you are not being paid the benefits you deserve.   


 

Can I afford a Workers' Compensation attorney? 

Foster law only gets paid if you get paid. We work on a contingency fee basis. Reach out if you have questions about our fee agreement.