When can you close a claims file?

• A. When all benefits that are due and payable have been paid.
• B. When the last payment of PD has been made.
• C. When the employee has returned to work.
• D. When TD has ended.

Answer: (A)

Closing a claim file happens when there are no remaining obligations tied to that claim. In workers’ compensation terms, the file is closed only after all benefits that are due and payable have been paid or otherwise resolved through settlement or final disposition. This means indemnity payments (like temporary or permanent disability) and medical benefits linked to the claim have been fully settled or exhausted, and no future payments are expected. Until that point, the claim remains open because there could still be pending benefits or potential liabilities.

Why this is the best answer: paying everything due and payable ensures there are no outstanding liabilities tied to the claim. Other events—like the last payment of permanent disability, the employee returning to work, or temporary disability ending—can occur while there are still unresolved medical needs or other benefits, so they don’t guarantee that the claim is fully closed.