Quote of the day
"If the system goes bad, the governor is going to get blamed for it whether he has the power [over the director] or not, so he's better off having it."
Phil Fulton, a Columbus workers' compensation attorney, about Gov. Ted Strickland's decision to retain his authority to hire and fire the executive director of the Ohio Bureau of Workers' Compensation
Arbitrator: AIG Owes Comp Insurers $443.5 Million
An arbitration panel determines that an American International Group Inc. subsidiary should pay more than $443.5 million to a group of insolvent workers compensation insurers to resolve a reinsurance dispute, according to California Insurance Commissioner Steve Poizner. The award is subject to court approval. By Dave Lenckus, Business Insurance (Chicago)
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Fontana Woman Nabbed for Suspected Comp Fraud
Authorities in Fontana arrest a 47-year-old woman they say filed two workers’ compensation claims but failed to disclose the complete history of her industrial injuries while seeking treatment. By Gina Tenorio, Daily Bulletin (Ontario)
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More Details on Strickland’s Oversight Panel Proposal
As part of his massive two-year budget proposal for the Bureau of Workers’ Compensation and Ohio Industrial Commission, Ohio Gov. Ted Strickland is calling for the creation of a new investigator exclusively focused on the agency. Strickland wants to replace the 11-member oversight council with a stronger 15-member panel that includes greater representation for labor, business, and financial experts.
Go to the full story by Jim Provance, Toledo Blade [With Photo] Go to the full story by Matt Leingang, AP via Cleveland Plain Dealer
Ohio County Offers Wage Continuation Option to Cut Comp Costs
In an effort to reduce its workers’ compensation rates, Wayne County, Ohio offers a wage continuation option to employees: instead of filing a claim with the Ohio Bureau of Workers’ Compensation, some workers can continue to receive a paycheck from the county while still accruing retirement, insurance, vacation and sick time benefits. By Bobby Warren, Daily Record
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South Carolina Bill Targets Captive Insurers
A bill in the South Carolina Legislature would allow captives domiciled in the state to write primary workers compensation coverage. The Democrat-sponsored bill is in response to high premium costs and slow progress with respect to reforms. By Roberto Ceniceros, Business Insurance
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Perspectives on Empire State’s ‘Fair Deal’
The New York Legislature is expected to approve the increases in workers’ compensation benefits and decreases in premium costs that business and labor hammered out last week under Gov. Eliot Spitzer’s guidance. Here are three perspectives on the Empire State’s long-awaited overhaul.
Go to the full article in the Journal News (White Plains, N.Y.)
Go to the full article in Newsday (Long Island, N.Y.)
Go to the full article in Tort Deform
NSW Premier Holds the Line on Tort Reforms
In Australia, New South Wales Premier Morris Iemma attacks lawyers and union leaders who are demanding more lucrative workers compensation. Vowing not to roll back tort reforms, Iemma says they reforms have saved the workers’ comp system from collapse and “put more money in the pockets of injured workers, and less in the pockets of lawyers.” By Ean Higgins and Susannah Moran, the Australian
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Texas Court Case Raises Unusual Issue
A 2003 case in which an unincorporated Texas self-insurance fund that provides workers’ compensation insurance sued a claims manager raises the issue of whether a prevailing plaintiff can contest the legal fees incurred by the defense.
By John Council, Texas Lawyer via Law.com
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