The Workers Compensation Act provides WorkSafeNB with the discretion to determine the frequency (periodic or lump sum) of compensation payments to workers.
Compensation payments are intended to ensure workers have a regular and reliable source of income, similar to employment earnings. However, WorkSafeNB recognizes that there may be instances where providing an advance payment of compensation benefits would better support the worker or surviving spouse.
To that end, WorkSafeNB may provide an advance of the following benefits:
WorkSafeNB considers all requests for advances by a worker or surviving spouse on a case-by-case basis.
1. When considering a request for an advance of compensation benefits to a worker or surviving spouse, WorkSafeNB weighs all relevant facts and circumstances including but not limited to the following:
2. When deciding to provide an advance in lieu of future benefit entitlement, WorkSafeNB attempts to balance the amount required to best support the worker or surviving spouse, while maintaining a regular and reliable source of income which allows them to meet their day-to-day financial obligations.
3. Advances of compensation benefits do not affect the worker’s entitlement to medical aid benefits. Workers remain entitled to medical aid for as long as is deemed necessary as a result of the compensable injury.
4. Advances of compensation benefits shall not exceed an amount equal to 60 months of periodical benefit payments.
5. Following an advance, the period of full or partial reduction in future periodical benefits is at WorkSafeNB’s discretion, but cannot exceed 60 months.
Financial advice
6. To support a worker or surviving spouse in making an informed decision about receiving an advance in an amount in excess of $1,000, WorkSafeNB may offer consultation with a WorkSafeNB-approved independent financial advisor.
7. When an independent financial advisor is consulted, WorkSafeNB pays a rate, up to a maximum of $500, for services provided by the advisor.
Advance – payment of a specific lump sum of money applied against, and in recognition of, future benefit entitlement.
Financial advisor – an individual, with a recognized designation or certification in accounting or finance, who provides advice on financial matters (e.g., officer of a bank, investment councillor, accountant, etc.).
Spouse – a person who, at the time of the death of the worker,
a) was married to and was cohabiting with the worker; or
b) was not married to but was cohabiting with the worker in a conjugal relationship and had, immediately before the death of the worker, been cohabiting:
i) for not less than three years; or
ii) for not less than one year if a child of whom the person and the worker are the natural parents had been or is to be born (Workers Compensation Act).