Iowa Code

Iowa Code § 85.48 (2026)

Partial commutation

✓ current as of July 2026

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1. When partial commutation is ordered, the workers’ compensation commissioner shall fix the lump sum to be paid at an amount which will equal the future payments for the period commuted, capitalized at their present value upon the basis of interest at the rate provided in section 535.3 for court judgments and decrees. Provisions shall be made for the payment of weekly compensation not included in the commutation with all remaining payments to be paid over the same period of time as though the commutation had not been made by either eliminating weekly payments from the first or last part of the payment period or by a pro rata reduction in the weekly benefit amount over the entire payment period.

2. When commuting future payments pursuant to this section, if the claim for workers’ compensation benefits was related to an injury that resulted in the injured worker needing a medically necessary permanent prosthetic device or an alteration of an existing medically necessary permanent prosthetic device, a portion of the lump sum payment must be designated for the purposes of covering the estimated cost of repair or replacement of the permanent prosthetic device. Moneys identified pursuant to this subsection shall be paid to the treasurer of state as custodian of the second injury fund for administration pursuant to section 85.65, subsection 2, section 85.66, and section 85.67A. [S13, §2477-m15; C24, 27, 31, 35, 39, §1408; C46, 50, 54, 58, 62, 66, 71, 73, 75, 77, 79, 81, §85.48; 82 Acts, ch 1161, §17] 98 Acts, ch 1061, §11; 2003 Acts, ch 140, §2; 2022 Acts, ch 1128, §5 Referred to in §85.65\n\nTue Dec 09 22:29:52 2025 Iowa Code 2026, Chapter 85 (59, 0) §85.49, WORKERS’ COMPENSATION 24 \n

Notes of Decisions

Cited in 5 cases (1 in the last 5 years), 1964–2021 · leading case: Toby Thornton v. Am. Interstate Ins. Co., 897 N.W.2d 445 (Iowa 2017).

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Toby Thornton v. Am. Interstate Ins. Co., 897 N.W.2d 445 (Iowa 2017). · cites it 2× “See Iowa Code § 85.48 (2013) (allowing partial payment of lump-sum benefits with reduced weekly benefits continuing).”

Diamond v. Parsons Co., 129 N.W.2d 608 (Iowa 1964). · cites it 4× ““That as provided in section 85.48 a partial commutation of 200 weeks will be for the best interest of the injured employee.”

VanGetson v. Aero Concrete, LTD. (Iowa Ct. App. 2020). · cites it 4× “45 by the commissioner and district court is improper because it renders section 85.48 superfluous. The appellants base this argument on our decision in Pilgrim’s Pride Corp.”

Amended August 22, 2017 Toby Thornton v. Am. Interstate Ins. Co. (Iowa 2017). · cites it 2× “See Iowa Code § 85.48 (2013) (allowing partial payment of lump-sum benefits with reduced weekly benefits continuing).”

Est. of Ed Albaugh v. UPS Freight (Iowa Ct. App. 2021). · cites it 2× “So Albaugh’s counsel, rightly or 5 Iowa Code section 85.48 (2017) states: When partial commutation is ordered, the workers’ compensation commissioner shall fix the lump sum to be paid at an amount which will equal the future payments for the period commuted, capitalized at their…”

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