Certified Authority Of Workers Compensation (CAWC) Practice Test

Permanent Disability is grant when?

When medical restrictions are permanent. The MMI is reached. When full recovery occurs. After 12 months of treatment.

Correct Answer:

The MMI is reached.

Explanation:

Permanent disability benefits come into play when the injured worker’s condition has stabilized and is not expected to improve with further treatment. This state is known as Maximum Medical Improvement (MMI). Once MMI is reached, clinicians can assess any permanent impairment and translate that impairment into a permanent disability award using the applicable impairment ratings and schedules. If recovery is complete, there is no permanent disability. The idea that disability hinges on reaching MMI distinguishes it from simply having permanent restrictions or from a set treatment duration like a fixed 12 months.

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