Updated October 2026 · 8 min read
A stipulated award is a California workers’ comp settlement in which you and the insurance company agree on your permanent disability rating and benefits, and a workers’ compensation judge makes that agreement an enforceable award. Your permanent disability (PD) is paid every two weeks, your future medical care for the injury stays open, and you can ask to reopen the case within five years of the date of injury.
It is worth understanding exactly what you are agreeing to. Permanent disability pays $160 to $290 a week for injuries on or after January 1, 2014, for a number of weeks set by your rating. A 20% rating, for example, is 75.5 weeks of PD, which works out to $12,080 to $21,895 depending on your earnings. Lifetime medical care for the injury can be worth far more than that over time.
This guide explains what a stipulated award includes, how the payments are calculated, what happens to your medical care, the job displacement voucher and $5,000 supplement, lump-sum options and how reopening works. If you are deciding between this and a lump-sum buyout, read our companion guide, compromise and release vs. stipulated award. You can also check your numbers with our workers’ comp calculator.
- A stipulated award is a settlement in which you and the insurer agree on your PD rating and benefits, and a workers’ comp judge turns it into an enforceable award.
- PD is paid every two weeks at $160 to $290 a week (injuries 2014 and later) for weeks set by Labor Code 4658(e). A 20% rating is 75.5 weeks, or $12,080 to $21,895.
- Future medical care for the accepted injury usually stays open for life, subject to utilization review.
- You can petition to reopen for new and further disability within five years of the date of injury (Labor Code 5410).
- If your employer offers no qualifying job, you may get a voucher worth up to $6,000 (permanent partial disability, injuries 2013 and later), plus a possible $5,000 Return-to-Work Supplement.
What is a stipulated award in California workers’ comp?
The formal name is “Stipulations with Request for Award,” often shortened to “Stips.” Both sides sign a form stating the facts they agree on and asking a judge to issue an award based on them. Once the judge approves the stipulations and issues the award, it is an order the insurer must follow, and the Workers’ Compensation Appeals Board (WCAB) can enforce it.
A stipulated award is different from a compromise and release (C&R). A C&R pays one lump sum and, according to the Division of Workers’ Compensation, usually means the claims administrator is not liable for any further payments or medical care. A stipulated award usually includes a sum of money paid over time plus future medical treatment.
Most stipulated awards are signed after you reach maximum medical improvement (MMI), also called permanent and stationary, when a treating doctor, QME or AME has described your permanent impairment and future medical needs.
What a stipulated award includes
Read the stipulations carefully before you sign. They typically state:
- The date of injury, the employer and the body parts or conditions accepted as work-related.
- Your earnings at the time of injury, which set your weekly benefit rates.
- The periods of temporary disability that were paid.
- Your permanent disability rating and the total PD owed, with credit for PD advances already paid.
- Whether you need further medical treatment for the injury.
- Any attorney’s fee, which the judge must find reasonable (Labor Code section 4906), and how certain liens will be handled.
If the rating is wrong, for example because a body part was left out or the doctor’s report was flawed, it is much harder to fix after the award issues. Our guide to how permanent disability ratings are calculated explains what goes into the number.
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How permanent disability is calculated and paid
The weekly rate. PD is paid at two-thirds of your average weekly earnings, within limits set by law. For injuries on or after January 1, 2014, the PD rate is between $160 and $290 a week for any rating under 100% (Labor Code sections 4453 and 4658).
The number of weeks. Labor Code section 4658(e) assigns a number of weeks to each percentage point, and the weeks grow faster as the rating rises. For injuries on or after January 1, 2013:
| PD rating | Weeks of PD | Total at $160/week | Total at $290/week |
|---|---|---|---|
| 5% | 15 | $2,400 | $4,350 |
| 10% | 30.25 | $4,840 | $8,772.50 |
| 15% | 50.5 | $8,080 | $14,645 |
| 20% | 75.5 | $12,080 | $21,895 |
| 25% | 100.75 | $16,120 | $29,217.50 |
| 30% | 131 | $20,960 | $37,990 |
| 40% | 201 | $32,160 | $58,290 |
| 50% | 271.25 | $43,400 | $78,662.50 |
The dollar totals use the 2014-and-later weekly rates. Ratings of 70% or more also add a life pension after the PD weeks are paid. See the full permanent disability pay chart for every rating.
When payments start. You do not have to wait for the award. The first PD payment is generally due within 14 days after your last temporary disability payment, and PD then continues every two weeks (Labor Code section 4650). A late payment is generally increased by 10%. When the award issues, any unpaid balance is paid on the same two-week schedule, after credit for the advances you already received.
💡 Example: Maria, a hypothetical home health aide injured in 2023, earned $600 a week. Two-thirds of $600 is $400, which is above the cap, so her PD rate is $290 a week. Her stipulated award is for a 20% rating, or 75.5 weeks: 75.5 × $290 = $21,895. She already received 20 weeks of PD advances ($5,800), so the remaining 55.5 weeks, $16,095, are paid at $580 every two weeks.
We can check your rating, your weekly rate and the medical terms in your stipulations before you sign, or help you reopen within the five-year window. The consultation is free.
Future medical care under a stipulated award
For many workers, open future medical care is the most important part of a stipulated award. When the award includes further medical treatment, the insurer must keep providing treatment that is reasonably required to cure or relieve the effects of your accepted injury, for as long as you need it. That can include doctor visits, physical therapy, medication, injections, equipment and surgery.
Treatment requests still go through utilization review, and disputes can go to independent medical review. Your medical rights are covered in our guide to medical treatment rights in California workers’ comp.
Sometimes, after an award, the insurer offers to buy out your future medical care with a separate C&R. You do not have to accept. Compare any offer with what your doctor says you will need before you decide.
The $6,000 job displacement voucher and $5,000 supplement
You may hear people talk about “vocational rehabilitation.” For injuries on or after January 1, 2013, the retraining benefit is the supplemental job displacement benefit (SJDB), a voucher worth up to $6,000 (Labor Code section 4658.7). You qualify only if all of these are true:
- Your injury happened on or after January 1, 2013.
- The injury caused permanent partial disability.
- Your employer did not offer regular, modified or alternative work lasting at least 12 months within 60 days after the claims administrator received the doctor’s report finding you permanent and stationary.
The voucher can pay for retraining or skill upgrades at an approved school, licensing and certification fees, tools required for training, up to $1,000 for computer equipment, and limited job placement and counseling services. It expires two years after it is furnished to you or five years after the date of injury, whichever is later, and it cannot be settled or commuted. Learn more in our job displacement voucher guide.
If you receive the voucher, you can also apply to the state’s Return-to-Work Supplement Program for a one-time $5,000 payment. You must apply within one year of the date the voucher was served on you.
Judge approval of a stipulated award
Stipulations do not become an award until a workers’ compensation judge approves them. In Gaines v. ABM Aviation (2026-EB-01), decided in June 2026, the WCAB confirmed that a settlement is enforceable only after it is approved, and that the judge must decide whether it is valid and adequate to protect the injured worker. A judge with questions may issue an order suspending action and, if needed, set a hearing, while respecting the parties’ due process rights. Our C&R vs. stipulated award guide explains the decision in more detail.
Can you get a lump sum? Commutation
A stipulated award is normally paid every two weeks. In limited situations, the WCAB can order some or all of your remaining payments paid as a lump sum, called a commutation (Labor Code section 5100). The Board may do so if it is necessary for your protection or in your best interest, considering your overall financial condition, including your ability to live without the periodic payments and to pay debts incurred before the injury, or if it will avoid inequity without undue expense or hardship to you.
A commuted amount is discounted to present value (Labor Code section 5101), so a lump sum can be less than the total of the payments it replaces. Ask what you would give up before you request one.
Reopening a stipulated award within five years
One of the biggest advantages of a stipulated award is that it can be reopened. Under Labor Code section 5410, you can start proceedings for more benefits within five years after the date of injury if the original injury has caused new and further disability. The WCAB keeps continuing jurisdiction during that period and can increase an award if your disability has increased (Labor Code section 5803).
- The clock runs from the date of injury, not from the date of the award. If your case settled four years after the injury, you may have only about a year left.
- You need evidence that your condition has worsened, such as a new surgery recommendation or a doctor’s report describing increased impairment.
- Future medical care is separate. If your award includes it, you can keep requesting treatment even after the five years pass. What ends is the right to reopen for new and further disability.
Stipulated award vs. compromise and release
A stipulated award usually fits workers who expect more treatment, whose condition may change, or who want the protection of reopening. A C&R may fit workers who want a clean break and are comfortable paying for future care another way. Before deciding, read compromise and release vs. stipulated award and should I accept a workers’ comp settlement offer?
Frequently asked questions
How long do stipulated award payments last?
PD is paid every two weeks for the number of weeks set by your rating, such as 75.5 weeks for a 20% rating, minus weeks already paid as advances. Ratings of 70% or more also include a life pension, and a 100% rating is paid for life.
Can I get a lump sum from a stipulated award?
Only in limited situations. You can ask the WCAB to commute part or all of the remaining payments under Labor Code section 5100, but the lump sum is discounted to present value.
Does a stipulated award cover future surgery?
If your award includes further medical treatment, the insurer must provide reasonable and necessary care for the accepted injury, which can include surgery. Requests go through utilization review.
Can I later change a stipulated award to a C&R?
Sometimes. After an award, the parties can agree to settle the remaining issues, often future medical care, with a C&R that a judge must approve. You are not required to agree.
What is a petition to reopen?
It is a request asking the WCAB to award more benefits because the original injury has caused new and further disability. It must be filed within five years of the date of injury (Labor Code section 5410).
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This article provides general information about California law and is not legal advice for any specific situation. Reading it does not create an attorney-client relationship. Past results do not guarantee a similar outcome.
