What is a permanent partial disability award in Canada?
A permanent partial disability award compensates a worker for a lasting impairment that does not fully prevent work. In Ontario, the WSIB pays a Non-Economic Loss (NEL) award as a lump sum based on the percentage of permanent impairment rated using the AMA Guides, adjusted for the worker's age. Other provinces (WorkSafeBC, WCB-Alberta) use similar permanent impairment or pension systems.
How does age affect an Ontario NEL award?
The WSIB adjusts the NEL award by 1.25% for each year the worker's age differs from 45 at the time of the impairment rating. Workers younger than 45 receive an increase (they live with the impairment longer); workers over 45 receive a reduction. The total adjustment is capped at plus or minus 50%.
Is a NEL award the same as lost wages?
No. A NEL or PPD award compensates for the non-economic loss of a permanent impairment (pain, loss of function). It is entirely separate from Loss of Earnings (LOE) benefits, which replace income you cannot earn because of the injury. A worker can receive both.
Who decides my impairment rating?
A board-appointed medical assessor evaluates you once your condition reaches maximum medical recovery, using the American Medical Association (AMA) Guides to the Evaluation of Permanent Impairment. The rating is expressed as a whole-person impairment percentage that drives the award amount.