A Connecticut Workers' Compensation Stipulation (often called a "Stip") is a formal settlement agreement between an injured worker and their employer's workers' compensation insurance company. It outlines the terms under which a workers' compensation claim is resolved, typically involving a lump sum payment in exchange for the injured worker waiving certain rights to future benefits.

Here's a detailed breakdown of what a stipulation is and how it works in Connecticut:

What Is a Stipulation in CT Workers' Comp?

A stipulation to date (or “Stip”) is:

  • A full and final settlement of the workers' compensation claim.

  • Signed off by the worker, the employer or insurer, and approved by a Commissioner of the Connecticut Workers' Compensation Commission.

  • A legal document that closes out the case, often including:

    • Past and future lost wage compensation

    • Potential permanent partial disability benefits

    • Potential medical benefits (unless explicitly kept open)

Key Characteristics of a CT Workers' Compensation Stipulation

  • ✅ Voluntary: Both sides must agree to the terms. You can't be forced to settle.

  • 💵 Lump Sum Payment: Usually includes all benefits the worker would be entitled to moving forward.

  • ❌ No Further Payments: Once approved, the injured worker generally gives up the right to receive additional weekly checks, even if the condition worsens.

  • 📝 Legally Binding: Once approved by a Workers' Compensation Commissioner, it cannot be undone unless there's evidence of fraud or coercion.

  • ⚖️ Commissioner Approval Required: The stipulation must be found to be in the best interest of the injured worker.

Common Situations Where a Stipulation Might Be Used

  • The worker has reached maximum medical improvement (MMI).

  • The employer/insurer and worker disagree about future liability for benefits.

  • The worker wants to resolve the case completely and move on.

  • There are disputes over compensability or the value of the claim.

Benefits of a Stipulation for Injured Workers

  • Provides a lump sum of money that can help with financial stability.

  • Allows for closure—no more hearings, disputes, or waiting.

  • May help avoid future litigation or delay in receiving benefits.

  • Can include additional provisions, such as payment for future medical expenses, if negotiated.

Potential Drawbacks

  • You give up the right to reopen your case in the future—even if your condition gets worse.

  • If you need more medical treatment later, it may be at your own expense.

  • Without legal representation, you could settle for less than your claim is worth.

💼 Do I Need a Lawyer?

It's strongly recommended that you consult a Connecticut workers' compensation attorney before signing a stipulation. An experienced lawyer can:

  • Help negotiate the highest possible settlement

  • Ensure you don't waive rights you may still need

  • Explain all consequences of the agreement

At James F. Aspell, P.C., we specialize in Connecticut workers' compensation settlements and can help you determine if a stipulation is right for your case. Visit www.aspelllaw.com to learn more or schedule a free consultation.

✅ Takeaway

A Connecticut Workers' Compensation Stipulation is a final, binding agreement that settles a work injury claim—usually in exchange for a lump sum of money. It can offer financial certainty but comes with the trade-off of giving up future benefits, so careful legal review is essential.