Settlement in Pennsylvania work comp is an agreement by the parties to end a case in exchange for a lump sum payment. The parties involved are a claimant- the injured worker, and the employer and its insurance company or third party administrator (which is like an insurance company but it does not spend its own money). Usually, the injured worker, or his or her attorney (it is recommended to use an attorney as settlement can involve many complex issues) makes a “demand” for settlement. The insurer/employer then makes an initial offer and negotiations continue. Once an agreement is reached, the parties must have the settlement codified in what’s called a Compromise & Release Agreement and the settlement must be approved before a Pennsylvania workers’ compensation judge at a hearing on the record. Some settlements, which are not global (ie, that simply resolve an issue in the case) can be submitted to a work comp judge in what’s called a Stipulation. In these situations, at least one aspect of the case remains open so that the case continues.