By: William Forbes
Pennsylvania employers could be facing an increase in workers' compensation rates starting in November, due to a Pennsylvania Supreme Court decision.
According to this recent article in the Pittsburgh Post-Gazette, "The court struck down a key part of the workers’ compensation law passed in 1996 to limit benefits for the most severe workplace injuries. Under that provision, an employer’s insurance provider could request that injured workers undergo a medical assessment after two years out of the workplace."
If the medical assessment found that the employee was less than 50% injured at that time, then the insurer was able to cap partial benefits at 10 years. However, if the employee was found to be more than 50% injured, he/she was able to receive full benefits for life.
The new ruling dictates that these medical assessments will not happen, which means more workers could end up receiving lifetime benefits. As a result of these and other changes made by the court, the Pennsylvania Compensation Rating Bureau proposed a cost hike that, if approved, will take effect after November 1.
For more information on the rate hike, and the court's ruling, see the full article in the Pittsburgh Post-Gazette: http://www.post-gazette.com/business/career-workplace/2017/08/24/Workers-compensation-insurance-court-ruling-premiums/stories/201708230302
For questions about your workers' compensation policy, contact your agent.