Insurance deductibles are a common feature for property coverages such as Comprehensive and Collision coverage on an auto, or coverage on a building or personal property. They are less common for coverages applying to bodily injuries. However, some employers are finding that Workers Compensation deductibles make financial sense for their organizations. The options vary from state to state and among insurance companies; before deciding whether to accept a deductible program, a business should learn the alternatives and the consequences of each.
Small deductibles are those ranging from $100 to $10,000 or more, depending on the particular state’s laws. They might apply to medical benefits, indemnity benefits (which compensate an injured worker for lost wages), or both, again depending on the laws of the state. For example, Colorado law permits small deductibles of $500 to $5,000 applied to both types of claims, while Hawaii allows $100 to $10,000 applied only to medical benefits. Some states, such as Hawaii, require insurance companies to offer small deductibles, some require them to offer deductibles upon the employer’s request (Pennsylvania), and others require an offer only if the insurance company determines that the employer can handle it financially (Colorado). The employer receives a small premium discount. Depending on state law, insurance companies may report losses to rating bureaus on a “gross” basis (not reduced by the deductible) or on a “net” basis (reduced by the deductible). The amount reported impacts the employer’s experience modification.
Some insurance companies offer “medium” deductibles, which range from $10,000 to $75,000. No states require the companies to offer these plans; employers who want them must negotiate them with the companies.
Deductible plans can improve employers’ cash flow, reduce their insurance premiums, provide increased tax deductions, and give them more control over their Workers Compensation costs. However, they are appropriate only for employers that can afford the potentially large cash reserves required. Any employer contemplating a deductible plan should implement an effective workplace safety program — and consult with our professional insurance agents who can identify and explain the alternatives.
For more information about workers compensation in your area, contact us today!
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Professional athletes are generally covered under workers’ compensation and are entitled to team benefits in many cases that are an offset against any workers’ compensation payments. There are some statutory and case law exceptions to the general rule, and the laws vary by the state and the sport involved.
Jockeys and professional boxers are the classic examples of athletes with workers compensation coverage issues in many cases. The jockey or professional boxer may be considered an independent contractor with no employer to secure their workers’ compensation benefits.
Professional football players (and baseball players) in a majority of states are covered by workers compensation laws. The National Football League (NFL) players have experienced many injuries not only during their careers but also on retirement. NFL 1990 stats show that more than one-third of the 645 players with careers between 1940 and 1986 retired with injuries. Two out of three retired NFL players live with permanent injury.
The following is a summary of significant laws in several states that address football players. Many states, however, do not have specific provisions for professional football (or baseball) players.
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Every employer should be prepared to conduct their own on the spot workplace injury investigation. In cases of serious injury, or injuries of a questionable nature, early intervention by the employer is essential. By being proactive, an employer can more readily reduce their liability to exposure by preventing a situation from spiraling out of control rather than engaging in a costly court action.
The main reasons to investigate are:
- This is your only opportunity to conduct your own discovery into the cause or legitimacy of the injury while the incident is fresh.
- Allows you to obtain the witness versions of the incident before details are forgotten, in some instances to prevent possible deception or collusion.
- Provides the best opportunity to understand the underlying cause of the incident and to make an informed management decision.
Understanding How to Conduct an Investigation
Every investigation is really nothing more than a step-by-step logical process. You are best served to have specific individuals designated to perform the investigation.
Your purpose as an investigator will be to determine whether the alleged workplace injury had a casual connection with the worker’s employment. You want to know whether the worker was exposed to a particular danger or possibly some other risk peculiar to the Worker’s Compensation actions at the time of the alleged injury.
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Professional athletes are generally covered under workers’ compensation and are entitled to team benefits in many cases that are an offset against any workers’ compensation payments. There are some statutory and case law exceptions to the general rule, and the laws vary by the state and the sport involved.
Jockeys and professional boxers are the classic examples of athletes with workers’ compensation coverage issues in many cases. The jockey or professional boxer may be considered an independent contractor with no employer to secure their workers’ compensation benefits.
Professional football players (and baseball players) in a majority of states are covered by workers’ comp laws. The National Football League (NFL) players have experienced many injuries not only during their careers but also on retirement. NFL 1990 stats show that more than one-third of the 645 players with careers between 1940 and 1986 retired with injuries. Two out of three retired NFL players live with permanent injury.
For more information on Workers Compensation, please visit our website
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QUESTION:
“I am a waitress with a large chain restaurant. There was recently a blizzard in the northeast which dumped 18-20 inches of snow on the area. The restaurant refused to close until 10pm even though many other businesses around us had already closed. On the way home I got into an accident and now can’t go to work due to my injuries. Am I eligible for workers comp?” Becky-New York
AWNSER:
No, because the accident did not happen while you were working. However, you can sue the other driver for your injuries, and your pain and suffering. Please contact Scurich Insurance Services for more information on Workers Compensation Benefits.
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