How much an Iowa workers comp settlement is worth depends on three things: the body part injured, your impairment rating, and your weekly wage. This guide lays out the Iowa caps, the body-part schedule, and how the math works, in plain English. All figures are from Iowa sources, verified as of October 2026.
Iowa at a Glance
| Wage replacement | 80% of spendable weekly earnings. Iowa does not use the usual 66.67% of gross wage. Spendable earnings are gross average weekly wage minus payroll taxes, based on marital status and number of exemptions (Iowa Code §85.37, §85.61). |
| Max weekly benefit | $2,431 |
| Min weekly benefit | 425. For TTD and healing period, the minimum is $425 or the worker’s actual spendable earnings, whichever is lower. For PPD, PTD and death benefits, the minimum is a flat $425. These figures apply to injuries from July 1, 2026 through June 30, 2027. |
| Waiting period | 3 days |
| PPD method | A combination. Scheduled members (fingers, thumb, hand, arm, toes, foot, leg, eye, hearing, shoulder) are paid as the impairment rating times the statutory weeks for that body part (Iowa Code §85.34(2)). Unscheduled whole-body injuries such as the back, neck, hip or brain are paid on industrial disability, meaning loss of earning capacity, out of 500 weeks. If the worker goes back to the same employer at the same or higher earnings, a whole-body injury is paid on the functional impairment rating only. |
| Lawyer recommended | For serious injuries, denials, or any settlement offer |
In This Iowa Guide:
How Much Is a Workers’ Comp Settlement in Iowa?
How much an Iowa workers comp settlement is worth depends on three things: the body part injured, your impairment rating, and your weekly wage. This guide lays out the Iowa caps, the body-part schedule, and how the math works, in plain English. All figures are from Iowa sources, verified as of October 2026.
Want a quick estimate for your own injury?
Iowa Body-Part Settlement Values
If your injury is a permanent loss to a specific body part, Iowa assigns it a set number of weeks of benefits. Your payout is roughly those weeks multiplied by your impairment rating and your weekly comp rate. Here are the Iowa figures:
| Body part (scheduled loss) | Statutory weeks of benefits |
| Thumb | 60 weeks |
| Index Finger | 35 weeks |
| Hand | 190 weeks |
| Arm | 250 weeks |
| Shoulder | 400 weeks |
| Foot | 150 weeks |
| Leg | 220 weeks |
| Eye | 140 weeks |
| Whole Body) | 500 weeks |
Whole-body / maximum: up to 500. This is the whole-body maximum, and it also applies to the loss of two members in one accident. The maximum weekly PPD rate is 2237 for injuries from July 1, 2026 through June 30, 2027. weeks.
How Iowa Calculates Your Payout
The comp rate is 80% of the worker’s weekly spendable earnings. Gross average weekly wage is usually figured from the 13 completed weeks before the injury, leaving out short or unrepresentative weeks (Iowa Code §85.36). Spendable earnings are gross wage minus federal and state income tax and FICA, using the worker’s actual marital status and exemptions. The Division publishes an annual rate book for looking up the rate.
The weekly maximum is capped at 200% of the statewide average weekly wage, which is 1215.65 for FY2027.
Permanent disability: A combination. Scheduled members (fingers, thumb, hand, arm, toes, foot, leg, eye, hearing, shoulder) are paid as the impairment rating times the statutory weeks for that body part (Iowa Code §85.34(2)). Unscheduled whole-body injuries such as the back, neck, hip or brain are paid on industrial disability, meaning loss of earning capacity, out of 500 weeks.
If the worker goes back to the same employer at the same or higher earnings, a whole-body injury is paid on the functional impairment rating only.
What Settlements Actually Run in Iowa
What drives an Iowa settlement: Whether the injury is scheduled or whole-body; the impairment rating under the AMA Guides 5th Edition (Iowa Code §85.34(2)(x)); the worker’s gross weekly wage, marital status and exemptions, which set the spendable-earnings comp rate; loss of earning capacity for whole-body injuries (age, education, work history, ability to retrain); whether the worker returned to the same employer at the same or higher pay; future medical care,
which is closed out in a full compromise; healing-period length; and any apportionment for a prior disability.
How Workers’ Comp Settlements Work in Iowa
An Iowa workers comp settlement usually has two parts: the wage benefits you are paid while you cannot work, and a lump sum for any permanent damage the injury leaves behind. The wage piece replaces a share of your average weekly wage, up to the state cap shown above.
The permanent piece is where most of the settlement value lives, and it depends on the body part, your impairment rating, and how the state values that loss.
Scheduled vs. Unscheduled Injuries in Iowa
Most states, including how Iowa handles many claims, divide permanent injuries into two buckets. A scheduled loss is a specific body part with a set number of weeks assigned to it, like an arm, hand, or leg. An unscheduled loss affects the body as a whole, like a back or a head injury, and is often worth more because it touches your overall ability to earn.
📨 Get Free Workers Comp Guides Alerts
Free · No spam · Unsubscribe anytime
Knowing which bucket your injury falls into is the first step to understanding what your case may be worth.
Other Iowa settlement rules: Iowa has two main kinds of settlement. An Agreement for Settlement (§85.35(2)) accepts the claim and leaves future medical open. A Compromise Settlement (§85.35(3)) disputes liability, and the Division must approve it; it usually closes all rights, including future medical. Approved settlements can also be paid as a full or partial commutation (lump sum) under §85.45.
Since the 2017 reforms, the shoulder is a scheduled member at 400 weeks rather than a whole-body injury. PPD is paid after the healing period ends, and PPD has its own lower weekly maximum (2237) than TTD (2431). Confirm all figures with the Iowa Workers’ Compensation Division and a licensed Iowa attorney. Nothing here is individualized legal advice or a guaranteed outcome.
Understanding Your Iowa Workers Comp Settlement
The size of an Iowa workers comp settlement is not random — it follows the state’s own formula. Your average weekly wage sets your benefit rate, the body part and impairment rating set the number of weeks, and the state cap sets the ceiling. Put together, those pieces are what an Iowa workers comp settlement is built from.
If any part of your Iowa workers comp settlement is unclear, the calculator below gives a quick estimate and your state board can confirm the current caps and the body-part schedule.
Got a settlement offer? Before you accept, it helps to know what your Iowa case may really be worth. An attorney can review the offer, often at no upfront cost.
Frequently Asked Questions
How much is a workers’ comp settlement in Iowa?
There is no single average — an Iowa settlement depends on the body part, your impairment rating, and your wage. Use the calculator on this page for an estimate, and remember every case is different.
How is an Iowa workers’ comp settlement calculated?
Iowa generally pays a share of your average weekly wage (capped at $2431/week), then adds a permanent-disability amount based on the body part and your impairment rating. The state’s body-part schedule sets the number of weeks.
Do I need a lawyer to settle my Iowa workers’ comp case?
Not always, but for a serious injury, a denied claim, or a settlement offer you are unsure about, many claimants talk to a workers’ comp attorney first — the consultation is usually free and represented claimants often recover more.
Official Iowa Sources & Resources
- Iowa Iowa Workers’ Compensation Commissioner / Workers’ Compensation Division, Iowa Department of Inspections, Appeals, and Licensing (DIAL): https://dial.iowa.gov/hearings/workers-comp/rates
- Iowa Workers’ Comp Statute: https://www.legis.iowa.gov/docs/ico/chapter/85.pdf
- U.S. Department of Labor — Workers’ Comp: dol.gov
- NCCI (rating/benefit data): ncci.com
These Iowa workers comp settlement figures were last verified against official sources in October 2026. State benefit caps change every year — confirm the current figure with your state workers’-comp board or a licensed attorney before you rely on it.
You May Also Like
More Iowa Workers’ Comp Guides
- How to File an Iowa Workers’ Comp Claim
- Iowa Workers’ Comp Requirements (Employers)
- Workers’ Comp Guides for All 50 States
Disclaimer: This guide is informational only and is not legal, medical, or financial advice. Workers Comp Explained is an independent educational resource, not a law firm or insurer. Workers’ comp benefits, settlement values, deadlines, and requirements vary by state and by the specific facts of your injury and change over time, and any settlement figures here are illustrative only.
Confirm your rights and any deadline with your state’s workers’ compensation board and a licensed attorney before you act.