When to Sign a Workers’ Compensation Clincher Agreement

workers' compensation settlement with two people with settlement agreement with their hands closed as they discuss settlement agreement

Did you get injured on the job? Your employer’s Workers’ Compensation insurance company may offer a clincher agreement or full and final release. This quick settlement can seem like a great solution now – but the decision to accept this workers’ compensation settlement agreement should not be made hastily.

Here at Hoffman Law Firm, our South Carolina Workers’ Compensation attorneys can help you consider your options – and choose the one that’s best for your future and your family.

Key Takeaways

  • A clincher agreement settles workers’ compensation claims through a lump-sum payment.
  • Recipients give up ongoing benefits in exchange for this payout.
  • Signing hinges on factors like medical costs, lost wages, trial prospects, and advice from a good lawyer.

What is a Clincher Agreement?

It’s an agreement that’s usually made between an injured worker and their employer or the company’s insurance company. The agreement is for a full and final buyout of the worker’s compensation claim.

This means the injured worker will give up their rights to things like weekly disability payments, medical care, and more. They will also have to resign from the company and agree not to reapply in the future. In return, they will get a big payout as part of their settlement.

Should I Sign a Clincher Agreement in a Workers’ Comp Claim?

Honestly, it depends on you.

Signing a clincher agreement in a workers comp claim is a big decision to make. It is important to take into account all the details, such as the medical expenses, lost wages, and any other damages related to the injury or illness, as well as the potential outcome of a trial and its associated costs and time.

Once the agreement is signed, the injured worker will receive a lump-sum payment, but they will also forfeit any right to seek additional benefits if their condition worsens in the future. Therefore, it is crucial to consider all factors before signing the agreement.

For support, it is recommended to review your workers’ comp case with an experienced attorney who can help you make the best decision.

Workers’ Compensation Agreement: Pros & Cons of a Lump Sum Settlement

First, after filing a Workers’ Compensation claim (also known as workers’ comp and workman’s comp), injured workers can be offered a lump-sum payment at the end of the case as a full and final settlement.

Due to the accident, you begin to experience lost wages and the medical bills start to stack up. So, your decision to accept a Workers’ Compensation clincher settlement can be very tempting. But it is crucial to consider the pros and cons, and to not underestimate why it is so important to consult with an experienced workers’ comp attorney.


  • Provides quick access to cash
  • Resolves the case and puts the injured worker back in control of their medical care
  • Saves time and keeps you out of the courtroom


  • Forfeits payment for future/ongoing care through Workers’ Comp system
  • Prevents you from claiming weekly Workers’ Comp benefits to make up for lost or decreased wages
  • Could be risky for injured workers who may need surgery or costly medications down the road

Note: While a lump-sum distribution can act as a financially irresponsible choice for those with poor budgeting skills, structured payments are sometimes available. In a structured settlement, the total amount gets divided and paid out at regular intervals.

Lifetime Medical Benefits

Thus, accepting a Workers’ Compensation clincher settlement usually means giving up medical benefits. For injured workers facing permanent disability or the possibility of surgery or costly medication in the future, this is not often advised.

Besides, if you do not know exactly what kind of ongoing care you will require, accepting a lump sum distribution could leave money on the table. Opting for lifetime medical benefits, however, means that the insurance company may be responsible for paying for certain medical treatment in the future.

How Much Can I Expect To Receive in a Workers’ Compensation Settlement?

workers' compensation settlement with people receiving money from one person to another person for settlement agreement

Furthermore, calculating the value of a final settlement is no easy task. Keep in mind that the insurance company wants to pay out as little as possible. Your Workers’ Compensation settlement is all business for them – but our team understands that your future is at stake.

Undoubtedly, Attorney David Hoffman and our experienced Workers’ Compensation lawyers will first consider the medical care you will need in the future. We will also consider your ability to work as well as any restrictions you may have resulting from the accident. Once our Charleston law firm have a better understanding of the payment you deserve, we can advise you whether or not signing a clincher agreement or full and final release is a good idea.

To recap, though there is no set formula for calculating a clincher agreement you can consider a variety of factors:

  • Whether you are partially or totally disabled
  • Whether you are able to return to work at all
  • Whether you can work in your prior position at full capacity
  • What your continued medical expenses will be
  • How much income you will lose as a result of your disability

Some common workplace injury settlements for workers’ compensation settlement injury (but no limited to):

  • Knee injury settlement
  • Eye injury injury settlement
  • Neck and back injury settlement
  • Hand injury settlement
  • Back injury settlement
  • Rotator cuff injury settlement
  • Nerve damage settlement
  • Slap tear settlement
  • Carpal tunnel settlement
  • Arthroscopic knee settlement
  • Post concussion syndrome
  • Brain injury settlement
  • 2 level cervical fusion settlement
  • Cervical radiculopathy settlement
  • Building disc settlement
  • Brachial plexus settlement
  • Degenerative disc disease settlement
  • Hernia settlement

Seeking An Experienced Charleston Workers’ Compensation Lawyer Near Me, Choose Hoffman Law Firm!

In conclusion, if you get offered a Workers’ Comp settlement, the qualified Lowcountry lawyers at Hoffman Law Firm can help you consider all your options. You can call, visit us or message us today to schedule a free consultation.

Plus, you only pay us when we take your case – and win!

For worker’s compensation and personal injury settlements, it is important not to wait until an offer gets made. Most of the time, if you choose to wait too long it means that certain things on their end become locked in. Plus, our personal injury law firm offers a track record of successfully managing accident settlements.



Recovered for a worker with under $100,000 in medical bills that was rear-ended by a commercial vehicle.


A client suffered a brain injury at work. Case was originally denied, however Hoffman Law Firm managed the case and got the accident victim compensated.


Recovered for a worker that fell through the roof of a building.


Our Practice Areas:

Personal injury

Workers’ Comp

Longshoreman Injury

Wrongful Death

Brain Injury

Spinal Cord Injury

Car Accident

Truck Accident


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Am I Eligible for Workers’ Comp While Working From Home?

Can I Receive SC Disability Benefits After a Workers’ Compensation Settlement?

Compensation for Spinal Cord Injuries in Charleston

Dangerous Jobs: Most Common Workplace Injuries

Do I Need to Use Sick Leave for a Workers’ Compensation Claim in South Carolina? 

How Can a Workers’ Compensation Lawyer Help Your Claim?

How to File for Workers’ Compensation in South Carolina

Is Your Occupational Disease Covered Under Workers’ Comp?

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