What percentage of the employee's average weekly earnings is defined as permanent total disability benefits?

Permanent total disability benefits are defined as a specific percentage of the employee's average weekly earnings, which is intended to provide financial support when an employee is unable to work due to a lasting and complete disability. In Colorado, this percentage is typically set at two-thirds of the employee’s average weekly earnings, which amounts to approximately 66 2/3%. This calculation is grounded in the principles of worker’s compensation and aims to ensure that the injured worker receives a substantial portion of their income to support their living expenses while they are unable to work.

The other percentages listed fail to align with the established legal framework for calculating permanent total disability benefits. A lower percentage, such as 50%, would not provide adequate compensation for someone permanently unable to work, while higher percentages, like 75% or 80%, exceed the statutory limits set forth in workers' compensation laws in Colorado. Thus, 66 2/3% is designed to strike a balance between providing sufficient support to the injured worker and maintaining an equitable system that can also support the overall workers' compensation program.