Colorado Workers'
Compensation Calculator

Colorado's workers' compensation system provides wage replacement benefits and medical coverage to employees who suffer work-related injuries or occupational diseases. Employers in Colorado are required to carry workers' compensation insurance if they have 1 employee.

Coverage can be purchased through private insurance carriers, through a state-operated fund (if available), or through qualified self-insurance programs for larger employers.

The maximum weekly benefit for temporary total disability (TTD) in Colorado is $1,325, based on the state average weekly wage. The wage replacement rate is 66.67% of the injured worker's average weekly wage (AWW), subject to the maximum cap.

Workers' compensation benefits are generally not subject to state or federal income tax. The system operates on a no-fault basis — injured workers do not need to prove employer negligence to receive benefits, but in exchange they generally cannot sue their employer for additional damages.

Colorado requires employees to report workplace injuries promptly and has specific deadlines for filing claims. The statute of limitations for workers' compensation claims in Colorado is 2 years from injury.

Missing these deadlines permanently forfeits your right to benefits. Report any workplace injury to your employer immediately and seek medical treatment as soon as possible — delays complicate both your medical recovery and your legal claim.

Colorado workers' compensation claims are administered by the Colorado Division of Workers' Compensation (DOWC), part of the Colorado Department of Labor and Employment. The Colorado Workers' Compensation Act (CRS § 8-40-101 et seq.) governs all claims.

Disputed claims are heard by administrative law judges within DOWC. Colorado's maximum weekly benefit of $1,325 reflects the state's above-average wage levels.

Common high-risk industries in Colorado include construction (particularly Front Range residential development), ski resort operations, mining in western Colorado, agriculture in the Eastern Plains, and oil and gas extraction in Weld County. Colorado workers' comp settlements often involve an "agreed final order" or "full and final" lump-sum settlement requiring division approval.

Workers can find a Colorado workers' comp attorney through the Colorado Bar Association's referral service.

Workers' compensation benefits in Colorado are calculated based on the injured worker's average weekly wage (AWW). The AWW is typically determined by looking at the worker's gross earnings over the 52 weeks preceding the injury, divided by 52.

For workers employed less than a full year, the AWW is calculated using the actual weeks worked. Overtime, bonuses, and tips are generally included in the calculation.

Once the AWW is established, the temporary total disability benefit is 66.67% of the AWW, up to the state maximum of $1,325.

There is a waiting period of 3 days in Colorado before temporary disability benefits begin. This means that benefits are not payable for the first 3 days of lost time after the injury.

However, if the disability extends beyond 14 days, benefits become retroactive to the date of injury, and the worker is compensated for the waiting period as well. Medical benefits, by contrast, are available from the date of injury with no waiting period.

In addition to wage replacement, Colorado workers' compensation covers all reasonable and necessary medical treatment related to the workplace injury. This includes emergency care, surgery, hospitalization, prescription medications, physical therapy, diagnostic tests, prosthetic devices, and mileage reimbursement for travel to medical appointments.

In some states, the employer or insurer has the right to direct medical care by selecting the treating physician, while other states allow the injured worker to choose their own doctor.

Temporary Total Disability (TTD) benefits are paid when an injured worker is completely unable to work during recovery. In Colorado, TTD benefits equal 66.67% of the AWW, up to the maximum of $1,325 per week.

These benefits continue until the worker reaches maximum medical improvement (MMI), returns to work, or reaches the statutory duration limit. TTD is the most common type of workers' compensation wage benefit.

Temporary Partial Disability (TPD) benefits apply when an injured worker can return to work in a limited capacity — for example, light duty — but earns less than their pre-injury wage. TPD benefits typically equal 66.67% of the difference between the worker's pre-injury AWW and their current reduced earnings.

This allows workers to return to productive employment while still receiving supplemental income during their recovery period.

Permanent Partial Disability (PPD) benefits compensate workers who have reached maximum medical improvement but retain a permanent impairment — such as limited range of motion, chronic pain, or loss of a body part. PPD benefits in Colorado are typically calculated based on an impairment rating assigned by the treating physician and a scheduled loss table.

Scheduled injuries (loss of a finger, hand, arm, etc.) receive a fixed number of weeks of benefits based on the body part affected, while unscheduled injuries (back, head, internal organs) are evaluated differently.

Permanent Total Disability (PTD) benefits are available to workers who are permanently and completely unable to return to any gainful employment as a result of their workplace injury. In Colorado, 66.67% of AWW for life, up to state max.

PTD is relatively rare and requires strong medical evidence that the worker cannot perform any type of work, not just their previous job. Common qualifying conditions include severe traumatic brain injury, total blindness, paralysis, and loss of multiple limbs.

In Colorado, employers with 1 employee are required by law to carry workers' compensation insurance. Coverage may be obtained through private insurance carriers, a state competitive fund (if available in Colorado), or through self-insurance for employers who meet financial and safety requirements.

Failure to maintain required workers' comp coverage is a criminal offense in most states, and employers may face fines, stop-work orders, and personal liability for injured workers' medical bills and lost wages.

Employees who are injured on the job must notify their employer as quickly as possible — most states require written notice within 30 to 90 days. In Colorado, the formal claim filing deadline is 2 years from injury.

The employer is then required to report the injury to their insurance carrier, which initiates the claims investigation. The insurer must accept or deny the claim within a statutory timeframe, typically 14 to 30 days.

If the claim is accepted, benefits begin. If denied, the worker has the right to appeal through Colorado's workers' compensation dispute resolution process.

Independent contractors are generally not covered by workers' compensation. However, Colorado (like most states) uses specific tests to determine whether a worker is truly an independent contractor or has been misclassified.

Employers who misclassify employees as independent contractors to avoid workers' comp premiums face significant penalties. Additionally, certain categories of workers — such as domestic employees, agricultural workers, and volunteers — may be exempt from mandatory coverage requirements in Colorado, depending on state-specific exemptions.

When a workers' compensation claim is denied or disputed in Colorado, the injured worker has the right to challenge the decision through an administrative appeals process. The first step is typically an informal mediation or conciliation conference, where the worker, employer, and insurance carrier attempt to reach a voluntary resolution with the help of a neutral mediator.

Mediation resolves a significant percentage of disputed claims without the need for a formal hearing.

If mediation fails, the case proceeds to a formal hearing before Colorado's workers' compensation board, commission, or administrative law judge. At the hearing, both sides present evidence — including medical records, expert testimony, and witness statements — and the judge issues a binding decision.

The worker may be represented by an attorney at this stage, and workers' comp attorneys typically work on a contingency fee basis, meaning they collect a percentage of the awarded benefits (usually 15–20%) only if the case is successful.

Common denial reasons include: the injury didn't occur at work, the condition is related to a pre-existing issue, the injury wasn't reported within the required timeframe, or the worker was intoxicated at the time of injury. Workers who receive a denial should consult a workers' compensation attorney promptly — appeal deadlines in Colorado are strict.

The statute of limitations for filing is 2 years from injury; missing this window permanently bars the claim.

The statute of limitations for workers' compensation claims in Colorado is 2 years from injury. This is the maximum time from the date of injury (or discovery of an occupational disease) within which an injured worker must file a formal claim.

For traumatic injuries, the clock typically starts on the date of the accident. For occupational diseases — such as repetitive stress injuries, hearing loss, or exposure to toxic substances — the limitations period may begin when the worker knew or should have known that the condition was work-related.

In addition to the statute of limitations, Colorado requires prompt reporting of workplace injuries. Employers have their own obligation to report injuries to their insurance carrier and to the state workers' compensation agency, usually within 7 to 10 days.

Failure to report can result in penalties for the employer. For workers, delayed reporting can create evidentiary problems — the longer the gap between the injury and the report, the easier it is for the insurer to argue the injury did not occur at work or is not as severe as claimed.

For repetitive trauma or cumulative injuries (such as carpal tunnel syndrome, chronic back pain from lifting, or occupational asthma), Colorado may apply a discovery rule that delays the start of the limitations period until the worker becomes aware of the connection between their condition and their employment. These cases are often more complex and contentious than sudden-accident claims, and frequently require expert medical testimony to establish the causal link between the work activities and the diagnosis.

Workers' compensation covers job-related injuries, but some claims involve additional civil remedies. The Colorado Personal Injury Settlement Estimator covers third-party liability claims that may run alongside a workers' comp case.

The Colorado Lost Wages Calculator helps quantify full income loss, including amounts workers' comp may not fully replace. For wrongful termination following a comp claim, the Colorado Wrongful Termination Damages Calculator estimates the additional damages available.

For a case-specific review, find a Colorado workers' compensation attorney.