Entitlement to benefits for permanent impairment (PI) depends on the law in effect on the date of injury. Employees who have suffered injuries before 01/01/93 may be awarded a benefit for permanent impairment, separate from and in addition to benefits for incapacity and medical treatment. For injuries on and after 01/01/93, an employee may not be awarded a monetary benefit for permanent impairment but they may qualify for specific loss benefits (see TOTAL INCAPACITY). The extent of permanent impairment is relevant only for determining the duration of the employee's entitlement to benefits for incapacity.
A. Injuries Before 09/23/71
Permanent impairment benefits are payable for total or partial loss of extremities, vision or hearing and for facial scarring, as listed on a schedule of body parts. If the impairment to the body part is 100%, then the benefit is calculated by multiplying the employee's compensation rate for total incapacity at the date of injury (without any inflation adjustments) by the number of weeks listed on the schedule. Benefits for a partial loss or loss of function are proportionately reduced (39 M.R.S.A. §56).
B. Injuries From 09/23/71 to 10/02/73
In addition to above, schedules were added for the back, neck, jaw and genito-urinary organs. Benefits are still based on the compensation rate for total incapacity on the date of injury (no inflation adjustments) (39 M.R.S.A. §56-A).
C. Injuries From 10/03/73 to 06/29/85
In addition to the above, the maximum benefit for serious facial scarring is increased from $5,000 to $7,500.
D. Injuries From 06/30/85 to 11/19/87
Same as above, but instead of using the employee's compensation rate on his date of injury, the multiplier is two-thirds of the statewide average weekly wage (SAWW) in effect at the date of injury (39 M.R.S.A. §§56, 56-A).
E. Injuries From 11/20/87 to 10/16/91
The above system was completely replaced by a "whole body" impairment system. The extent of impairment is based on the AMA Guides to the Evaluation of Permanent Impairment, 4th Edition. The number of weeks of benefits is based on a complicated statutory formula, but they are set forth on a chart promulgated by the former Workers' Compensation Commission and included in the former rules. The number of weeks shown on the chart is multiplied by two-thirds of the SAWW in effect at the date of injury. The benefit may be paid in a lump sum or weekly, but it is in addition to any other compensation which the employee might be receiving (39 M.R.S.A. §56-B).
F. Injuries From 10/17/91 to 12/31/92
For dates of injury between 10/17/91 and 12/31/92, the same formula applies to a calculation of the permanent impairment benefit, except that the award for permanent impairment must be reduced by any compensation which the employer has paid for either total or partial incapacity. Therefore, if the employer has paid benefits for total or partial incapacity, and the total amount paid exceeds the amount of a potential award for permanent impairment, then the employer pays nothing beyond what it has already paid, or continues to pay, for total or partial incapacity. If the employer has paid benefits for a closed period of incapacity and the total amount paid does not exceed the amount payable for permanent impairment, the permanent impairment award must be reduced by the amount of compensation already paid for total or partial incapacity.
G. Injuries On and After 01/01/93
For dates of injury on and after 01/01/93, an employee's whole- person impairment is relevant only for determining the duration of her entitlement to benefits for partial incapacity, (see PARTIAL INCAPACITY). The Law Court has held that where an employee suffers from a pre-existing condition which causes permanent impairment, and a work-related injury combines with or significantly aggravates the pre-existing condition, any permanent impairment resulting from the work-related aggravation must be added to or "stacked" with the impairment from the pre-existing condition when calculating an employee's permanent impairment for purposes of applying the section 213 limitation period. In 2002 the statute was amended to limit the PI to include the work injury at issue and any pre-existing physical condition or injury that is aggravated or accelerated by the work injury at issue. For dates of injury on or after January 1, 2002 you also include previous work related injuries which the Employee received benefits for and which have not been denied by the Board or have settled and combine with the work injury at issue to cause incapacity. There are numerous exceptions to this rule, and adjusters should consult with counsel before agreeing to stack permanent impairment in all circumstances.
