Understanding Illinois Workers’ Compensation Benefits

If you’ve been injured at work in Illinois, the Workers’ Compensation Act may provide coverage for medical care, wage replacement, vocational help, and long-term disability. This guide breaks down each major benefit so you know what you’re entitled to and how to claim it.  Workers’ compensation is not just about a settlement; there are several key rights and benefits to be aware of if you’ve been injured at work.

In our 25 years of representing injured workers in Illinois, the biggest mistake I see is waiting to report your injury, or waiting to seek medical care when you’re hurt.  You have to protect yourself!  These cases can be life changing, and you never want to look back and wish you’d taken your injury more seriously.  If you’ve suffered an injury at work, you may qualify for some or all of the benefits described in this post. But if you wait to report your claim or see a doctor, the insurance company may use this against you and deny your case.

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1) Temporary Total Disability (TTD)

You receive TTD when you’re completely unable to work during recovery or your employer can’t offer medically appropriate light duty.

• Rate: ~66⅔% of Average Weekly Wage (AWW)

• Waiting period: No pay for the first 3 calendar days unless you’re off 14+ days (then it’s retroactive)

• Duration: Until Maximum Medical Improvement (MMI)

• Caps: Illinois sets min/max amounts that change twice a year

A few issues to be aware of here:

1. Your benefits will be paid based on your average weekly wage (AWW).  This is calculated based on the average of the 52 weeks of wages before the accident.  If you believe your TTD is being underpaid by the insurance company, a skilled workers’ comp lawyer may be able to assist you to increase your TTD rate.
2. The waiting period explained: let’s say you are off work for 3 days based on your doctor’s recommendation.  Workers’ comp does not have to pay you this.  However, let’s say you’re off for 15 days.  Once you hit day 15 being off of work, they have to go back and pay you those first 3 days as well.  Most insurance adjusters will tell you this and fix the issue, but some may “forget”.
3. If your doctor has taken you completely off of work, you should receive TTD benefits.  If your doctor has placed you on light duty restrictions, but your employer cannot or will not offer you light work, you should still receive TTD benefits.
4. This is really important – if you are fired by your employer, this does not end your right to TTD benefits.  To be clear, if you are fired by your employer, ALL of your rights under Illinois workers’ compensation essentially remain the same.

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2) Temporary Partial Disability (TPD)

You get TPD when you can work light duty/part-time and earn less than before.

• Rate: ⅔ of the difference between pre-injury wages and current reduced wages

• Example: Pre-injury $1,000/week, light duty $400/week → difference $600 × ⅔ = $400/week TPD

Here’s a practical example: let’s say that your employer allows you to come back to work with restrictions that your doctor recommended, however now they can only offer you a reduced schedule (used to work 40 hours, now only 25).  Your employer would pay you the wages for time worked, and then workers’ compensation should pay you 2/3 of the difference between the wages actually earned and your average weekly wage.  This is a little complicated, but an experienced workers’ compensation attorney can help if they are not paying you correctly.

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3) Permanent Total Disability (PTD)

PTD applies if you cannot return to any gainful employment (or for statutory losses such as both hands/feet/eyes).

• Rate: ~66⅔% of AWW

• Duration: Lifetime payments

• Adjustments: Eligible for cost-of-living increases via the Rate Adjustment Fund

• Range: subject to minimum and maximum rates under Illinois law.

These are often the largest, and saddest workers’ compensation cases.  If after all of your medical treatment you are unable to return to any sort of stable employment, you are entitled to payment of benefits for the rest of your life.  This is a very fact-specific, case by case issue.  Let’s say you’re released with permanent desk-job restrictions.  If you’re  a lawyer or an accountant, this would not necessarily end your career.  However, if you are a life-long construction worker with a high school education, it may be very challenging to find new employment.  Injured workers with permanent restrictions that their employer cannot or will not accommodate may also be entitled to vocational rehabilitation, which we will discuss below.  Frequently, a skilled workers’ compensation attorney will use evidence provided by the worker’s doctors as well as a vocational rehabilitation counselor to prove these cases.

Note, in these cases, an injured worker can take their case to trial and prove their right to lifetime benefits.  Often, these cases settle, based on a calculation as to what the injured worker will receive in the future based on their life expectancy.  Our results page lists several cases like this.

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4) Permanent Partial Disability (PPD)

PPD compensates a permanent loss of function. Illinois recognizes four types:

1. Disfigurement – Visible, permanent scarring (e.g., face/hands/arms).

   • Up to 162 weeks at 60% of AWW

   • This is very subjective.  See our blog post regarding disfigurement in WC cases.

2. Scheduled Loss-of-Use – Loss of use of a listed body part (arms, legs, eyes, ears).

   • 60% of AWW × state-assigned weeks.

   • Unless there’s an amputation (100% loss), this is an issue workers’ compensation lawyers spend a lot of time and effort fighting over.  This is based on the injury suffered, the treatment performed, how the injured worker is feeling and functioning at the end of treatment, and how it affects them at work.
   • How do you figure out whether your arthroscopic knee surgery is worth 5% of your leg or 20%?  It’s not always clear, and this is sometimes where it’s really helpful to consult with a lawyer.

3. Unscheduled (Person-as-a-Whole) – For impairments not listed.

   • 60% of AWW × % of 500 weeks.

   • This can be for loss of trade cases (injured worker cannot return to their former profession, but is employable and has not suffered a wage loss), or unscheduled loss injuries, like shoulders, spinal injuries, and head injuries.
   • Like the Scheduled Loss cases, this is a very fact-specific analysis.

4. Wage Differential – If you can work only in a lower-paid job due to your injury.

   • Paid until age 67 or 5 years after the award (whichever is later).

   • This is similar in a lot of ways to the permanent total disability issue.  We often will obtain a vocational rehabilitation expert to help prove that the injured worker can no longer return to work in the same profession, cannot make the same wages as previously, and then prove what they can, in fact, earn now that they have these permanent restrictions.
   • These are often very significant, very sad cases as well. It breaks my heart when I have a 30 year old union laborer in my office who was earning $50 per hour, and now has to start over in a completely different occupation.  We help these workers with the correct compensation under Illinois law, but nothing can really make up for the loss of one’s occupation and livelihood.

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5) Vocational Rehabilitation & Maintenance

If you can’t return to your prior job, vocational rehab can fund retraining, job placement, counseling, and related travel. You may receive maintenance benefits (often at the TTD rate) while enrolled.

This comes into play frequently with the permanent total disability and wage differential claims we just discussed.  Sometimes an injured worker will benefit from retraining, vocational testing, job readiness training, and job placement services.  For example, let’s take the union laborer I described above.  Without assistance, it’s possible that the best job he will be able to find on his own is in retail or food service. But it’s possible to fight for the workers’ compensation insurance to pay for services (and maintenance benefits while doing so) that will help that worker find a job making better money, under better conditions.  After this, he or she would still be entitled to a settlement or award regardless.

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6) Death & Survivor Benefits

If a work injury or illness results in death, dependents may receive:

• Weekly benefits of ~66⅔% of AWW

• Funeral/burial up to $8,000

• Ongoing payments to qualifying spouse/children (terms vary)

7) Medical Benefits in Illinois Workers’ Compensation

If you’re injured on the job in Illinois, your employer (or its workers’ compensation insurer) is required to pay for all reasonable and necessary medical care related to your work injury or illness.
This includes more than just the initial ER visit — it covers diagnosis, treatment, rehabilitation, and future medical needs.

What Medical Expenses Are Covered

• Doctor and hospital visits

• Surgery, physical therapy, and rehabilitation

• Prescription medications and medical devices

• Diagnostic testing (X-rays, MRIs, lab work)

• Mileage reimbursement for travel to and from medical appointments

• Future medical care related to your injury (as recommended by your doctor)

Choosing Your Doctor

Under Illinois’ two-doctor rule, you can choose two treating physicians—and all doctors they refer you to—without employer approval.
Employers may direct you to a company clinic, but you are not required to use their doctor after your initial emergency care.

Frequently, clients hire us after a company clinic has discharged them, saying they are fine to go back to work with no additional care.  Injured workers have a right to a second opinion, and should absolutely exercise that right if they are having doubts about what the company doctor (or any initial doctor they are treating with) is saying.

Medical Disputes and Independent Medical Exams (IMEs)

Sometimes insurance companies request an Independent Medical Examination (IME) to verify your condition. If your IME conflicts with your treating doctor’s opinion, you may need an attorney to challenge the insurer’s decision.

We have these fights all the time.  I just posted a great blog on two recent Illinois Workers’ Compensation cases where the IME denied the recommended treatment, and we ultimately won at trial.  Remember, even if you have a pre-existing condition, you are entitled to benefits in Illinois if the accident aggravated or accelerated the pre-existing condition.  That’s what these cases were – the IME doctor said that the worker had recovered from their work injury, or was fine at this point, but the treating doctors disagreed.  An IME doesn’t end your case.  It just starts the fight.

No Copays, No Out-of-Pocket Costs

Illinois law prohibits charging injured workers copays, deductibles, or balance billing for authorized treatment. If you receive a bill, notify your attorney immediately.

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Why Choose McHargue & Jones, LLC

For 25+ years, our attorneys have represented injured workers across Chicago and Illinois, handling contested claims, IMEs, hearings, and appeals.

• Free consultation

• No fees unless we win

• Strategic guidance on AWW, medical, vocational, and settlement timing

📞 (312) 739-0000

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Frequently Asked Questions (Illinois Workers’ Comp)

1) What workers’ comp benefits can I get in Illinois?
Medical care, TTD/TPD (wage replacement), PPD/PTD (permanent disability), vocational rehab/maintenance, and death benefits for dependents.

2) How is my Average Weekly Wage (AWW) calculated?
Typically your gross earnings in the 52 weeks before injury divided by the weeks worked (adjusted for overtime/bonuses/seasonal work when applicable). If you are not being paid at the correct rate, we can demand that the insurance company provide the wage data they are using, and review this with you to ensure that it’s accurate. We can also argue over how this is being calculated based on the periods worked.

3) What is the Illinois waiting period for benefits?
No wage benefits for the first 3 days; if you’re off 14+ days, those 3 days are paid retroactively.

4) Can I choose my own doctor?
Yes. Illinois’ two-doctor rule lets you pick two treating providers (plus their referrals) without employer approval.

5) How long can I get TTD?
Until you reach MMI or you’re released to appropriate duty.

6) How are PPD benefits calculated?
By category (disfigurement/scheduled/unscheduled/wage differential) using 60% of AWW times state-assigned weeks or % of 500 weeks.

7) What’s the difference between TTD and TPD?
TTD = you can’t work at all; TPD = you can work but earn less due to restrictions.

8) Can I be fired for filing a workers’ comp claim?
Retaliation is illegal. If you’re disciplined or fired for asserting your rights, you may have additional claims.

9) What if my employer/insurer denies my claim?
You can file with the Illinois Workers’ Compensation Commission (IWCC). We handle trials, IMEs, depositions, and appeals.

10) Are workers’ comp benefits taxable?
Generally no—benefits aren’t subject to federal or Illinois state income tax.

11) How soon should I report an injury?
Notify your employer as soon as possible (Illinois law requires notice within 45 days).

12) What is wage differential and how long does it last?
It pays part of the gap between old and new wages if your injury forces a lower-paid job. It continues until age 67 or five years after the award (whichever is later).

13) When do Illinois benefit caps change?
Twice per year. Always cite the effective date with any rate you publish.

14) Can I work a second job or light duty while on benefits?
Possibly. It depends on restrictions and benefit type (TPD often applies). Get legal advice before changing work status.

15) How long do I have to file a claim?
Generally 3 years from the accident or 2 years from the last compensation payment—whichever is later.

16) How long do cases take to settle?
It varies with medical stability (MMI), disputes, and ratings. Many cases settle after MMI when impairment is clear.  Some case settle within months. Some cases involve a long fight, multiple surgeries, and a long course of vocational rehabilitaton.  Every case is different, but with a skilled, experienced attorney, you will receive the guidance you need to obtain the right outcome.

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Talk to an Illinois Workers’ Comp Lawyer

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