North Carolina Workers' Compensation Lawyer Blog

Pundits and policymakers who debate North Carolina workers’ compensation are abuzz about the latest news out of Canada’s Supreme Court regarding a 16-year old workers’ compensation dispute that followed a deadly mine explosion.

Here is the background.

In 1992, a bitter labor dispute at Yellowknife Giant Mine led to riots. One of the rioting miners, Roger Warren, was so distraught that he planted an explosive in one of the mines and detonated it via a trip wire. The explosion killed nine miners. Although Warren himself was quickly convicted and is now serving a life sentence in prison, his action set off a legal dispute between the widows of the miners killed and organizations that they alleged were indirectly responsible (and thus liable) for Warren’s actions.

The miners’ widows sued the Canadian Auto Workers, Royal Oak Mines, and the security firm that was supposed to protect the site, Pinkerton’s of Canada, as well as the Government of Canada’s Northwest Territories. In a lower court decision, the widows won a payout of $10.7 million in 2004. But the Supreme Court overturned the lower court’s decision, citing the fact that the parties named did not have sufficient control over the actions of Roger Warren and could not have anticipated that he would commit such a destructive act.

How might the Canadian Supreme Court’s rejection of these miner widows’ claims impact North Carolina workers’ compensation legislation?

Peripherally at best. However, the case does raise some interesting points of law that have international implications.

For one, it re-raises the long running debate over the definition of indirect liability. If someone else causes significant damage (that merits, for instance, a North Carolina workers’ compensation claim), and a third party could theoretically be indirectly implicated in the primary agitators’ actions, what is correct legal remedy? Obviously, in the abstract, you simply can’t answer that question. In this case in Canada, the Supreme Court found that parties like Pinkerton’s and the Government of Northwest Territory could not be liable for the actions of the renegade angry miner. But you can certainly find analogous cases in Canada and in the United States, in which a third party can be held significantly liable for damages that a subordinate party causes.

For instance, let’s say a trucking company hires a driver and fails to vet the drivers’ safety record effectively. The driver then goes out and causes a car accident, which causes permanent spinal damage to a passenger in another vehicle. Although the truck driver who caused the accident was primarily responsible, the injured victim could probably make a great case against the truck company itself for providing the dangerous driver with a truck to drive in the first place.

If you or a family member has been involved in any kind of North Carolina workers’ compensation dispute, you may want to speak with a veteran, highly credentialed North Carolina workers’ compensation attorney ASAP to get a better understanding of your rights and strategic possibilities moving forward.

More Web Resources:

Yellowknife Giant Mine - original verdict

Widows Lose Appeal

North Carolina workers’ compensation policy experts are keeping a close eye on a developing workers’ comp case out of Connecticut involving police officer Frank Chiafari, who shot and killed a chimpanzee who had ripped the face off of a local Stanford woman last year.

The attack on the woman, Charla Nash, provoked a firestorm of media coverage last February. Officer Chiafari had been called into deal with the emergency attack. He entered the melee and saw the woman’s mutilated face. The chimpanzee then attacked him. He drew his gun and shot it fatally. Traumatized by the incident, Officer Chiafari put in a workers’ compensation claim, which was denied in just five days.

The disgruntled officer recently testified before Connecticut lawmakers about how important it is to provide workers’ compensation to cover therapy for cases like his. The officer claimed that he suffered post traumatic stress disorder from the incident: he hallucinated that he saw women without faces, for instance.

How might officer Chiafari’s testimony impact North Carolina workers’ compensation policy?

At this point, it’s unclear. The chimpanzee shooting case was obviously quite one-of-a-kind. In other cases, in which an officer might be required to shoot a feral animal, for instance, would it be appropriate for the state to have to pay workers’ comp for counseling or therapy? Obviously, if an officer is forced to shoot and kill a human assailant, therapy benefits would no doubt be provided. But when you are dealing with an animal assailant? Should similar standards apply?

If the bill advocated by Officer Chiafari and others passes the Connecticut Legislature, other states may or may not follow suit and pass similar kinds of legislation. However, as we just mentioned, given the odd nature of this case, it seems unlikely that the bill will provoke a rapid state-by-state change in the law. Although when it comes to North Carolina workers’ compensation policy, you never know.

If you or a family member or a friend is having trouble securing workers’ comp benefits, or if you have questions about North Carolina workers’ compensation insurance coverage, please connect ASAP with a knowledgeable NC workers’ comp attorney.

More Web Resources:

Charla Nash

Officer Frank Chiafari

Blue chip insurance companies, such as Travelers and Hartford Financial Services Group, heavily lobbied the US government over North Carolina workers’ compensation (among other issues) last year, according to twin reports released on February 9th by the AP.

Travelers spent over $1.6 million in just the fourth quarter last year to lobby Congress, the FDIC, the Federal Reserve, the Treasury, and other government agencies.

Hartford Financial Services Group spent more than $0.5 million in that same period.

In addition to lobbying on behalf of North Carolina workers’ compensation concerns, the insurers also sought favorable treatment with respect to consumer protection issues, global warming issues, and insurance regulation reform.

Travelers also lobbied on bankruptcy, asbestos loss, and coastal wind zone issues. Hartford Financial, meanwhile, lobbied on drywall safety issues, retirement securities and flood insurance, and issues concerning the National Insurance Consumer Protection Act.

What should North Carolina workers’ compensation policymakers take away from these concerted lobbying efforts? Will insurance companies substantially impact policy by throwing around their money and influence? And if so, what might insurance-company-induced changes to law and policy ultimately mean for the workers, employers and physicians who must navigate the North Carolina workers’ compensation system?

The reforms these companies seek are complex and technical. But while it might be tempting to dismiss the proposals as purely self-interested (and thus purely destructive to those who might oppose them), only an in-depth analysis of specific policy proposals can lead to any meaningful insights. And even if a particular proposal does look good (or bad) for employees, for instance, there is no way to really know how it will pan out without seeing a full-scale implementation. After all, the real world tends to change policies substantially; the so-called law of unintended consequences guarantees unpredictable outcomes.

These philosophical considerations notwithstanding, if you or a loved one or friend has specific concerns about your North Carolina workers’ compensation, connect with a qualified and highly credentialed attorney. A free consultation can simplify and improve your long-term outlook.

More Web Resources:

Hartford Financial Services Group

Travelers Insurance

Military personnel injured by exposure to carcinogenic elements at Camp Lejeune in North Carolina may soon be able to cash in on North Carolina workers’ compensation claims, thanks to a new bill under consideration in the Senate called the “Examination of Exposures to Environmental Hazards during Military Service Act of 2010,” also known as TRICARE. Since January 28th, the Senate Veterans Affairs Committee has held hearings about how to compensate injured military personnel for damages related to exposure to environmental hazards, such as benzene-based solvents like trichloroethylene.

The Senate bill is designed to respond to complaints at 130 military bases around the nation. These are all listed on something called The Environmental Protection Agency Superfund’s National Priority List. Thousands of military personnel may be impacted by the legislation.

At Camp Lejeune in North Carolina, officers and other personnel came into regular contact with trichloroethylene (TCE) during the course of cleaning airplane parts. This harsh solvent seeped into the ground and local water supply, and many personnel thus indirectly drank it, got it on their skin and inhaled the aromatic compound.

Assuming the proposed Senate bill becomes law, the Department of Defense will have 90 days to create a list “Of individuals exposed to environmental hazards at Camp Lejeune, during the period… in which the water at Camp Lejeune was contaminated with volatile organic compounds, including known and probable human carcinogens.”

To collect North Carolina workers’ compensation benefits from the DOD, potential beneficiaries will likely have to jump through many logistical hoops. If you or a family member suffered exposure to chemicals at Camp Lejeune, it may behoove you to speak with a qualified and highly credentialed North Carolina workers’ compensation attorney to protect your interests and to ensure that you get fair payment for injuries, medical costs, wages lost, and other damages.

More Web Resources:

Examination of Exposures to Environmental Hazards during Military Service Act of 2010

Camp Lejeune

A former North Carolina Workers' Compensation insurance agent, Terri Lynn Spence, has been sentenced to four years of supervised probation and a full year of house arrest (under electronic surveillance) for multiple counts of embezzlement, according to North Carolina officials.

North Carolina Insurance Commissioner, Wayne Goodwin, publicized Ms. Spence's sentencing at a news conference. The 34-year-old Emerald Isle resident was ordered to pay more than $46,000 in court fees and restitution to victims of her scheme. All told, 16 different insurance companies and 43 individuals were financially impacted.

Ms. Spence "obtained property by false pretences," according to investigators at the Department of Insurance, who contacted police officers in La Grange to bust the embezzler back in June 2008. Most of the policies embezzled were North Carolina Workers' Compensation policies (along with some homeowners' policies). State officials do not believe that Ms. Spence worked in conjunction with any other entity or syndicate. But her arrest, trial, and sentencing likely have not gone unnoticed by others who would seek to embezzle or otherwise defraud the North Carolina Workers' Compensation system.

If you or a family member has had trouble collecting your North Carolina Workers' Compensation benefits, or if you are having any issues filing paperwork, dealing with your employer, managing negotiations with your insurance company, or talking to your physician or rehabilitation specialist about billing, go over your concerns with a qualified North Carolina Workers' Compensation attorney.

More Web Resources:

Terri Lynn Spence

Wayne Goodwin

You’ve successfully fought for and won a substantial North Carolina Workers’ Compensation claim. Now you are left with the difficult and long-term task of rebuilding your life, planning your career direction, and managing your injury/injuries. Here are some useful tips and solutions as you make this great journey back to financial and physical health.

1. Get support

No one recovers alone. Human beings are social creatures. We need the support of doctors, friends, family members, and other people who are going through similar situations. Reach out to people who can help you, including specialized North Carolina Workers’ Compensation attorneys, support groups, and the helpful operators at the North Carolina Industrial Commission. You are not the first person forced to endure a long and difficult rehabilitation from an on the job injury. And you need not “reinvent the wheel” when it comes to navigating recovery. Listen to what others have to say, and do due diligence and research now to save yourself trouble down the line.

2. Treat your injuries holistically.

You may simply have suffered a sprained finger on the job, or you may have endured something more severe, like a blood injury due to chemical exposure. Whatever the case, in addition to the acute damage the injury/illness has caused you, you have no doubt suffered secondary and even tertiary consequences from the initial insult. Often times, surgery and pain medications can alleviate some of initial symptoms. Work now with your physician to develop a long term system of pain management, exercise, diet, flexibility training, and ergonomic practices. Otherwise, you could easily reopen old wounds and exacerbate current problems. For instance, people who get typing injuries in one hand often revert to using the less favored hand to type -- without changing anything fundamental about their work habits. As a result, the less favored hand also gets injured.

3. Budget realistically for the future - and don’t ignore your finances.

While filling out and waiting for a North Carolina Workers’ Compensation claim to go through, it’s easy to awfulize bad news and celebrate good news. Try to keep yourself on an even keel. The budgetary uncertainty won’t go away soon - even if your claim goes through fine. You have a difficult and unpredictable recovery and rehabilitation ahead of you. Budget conservatively, and develop workarounds to protect your nest egg and ensure a good quality of life -- without creating undue expectations. If your spouse or partner can pick up some of the financial burden, may be that’s something to consider. If you can take on a temporary job that doesn’t stress your injuries or interfere with your rehabilitation, that also might be something to consider. Workarounds abound. The key is to, first of all, be honest about where your financial situation is right now. Only once you have collected all of your concerns, hopes, and fears about your financial future can you make an accurate and active strategic plan.

4. Consult with a reputable and experienced North Carolina Workers’ Compensation firm regarding any legal questions.

Often, North Carolina Workers’ Compensation claimants wait until the last minute - or wait until deadlines have passed - to get good legal help. Don’t make that mistake. Whether you are negotiating with insurance companies, dealing with an uncooperative employer, or simply confused by the maze of paperwork presented to you, you need not go down this path alone. A free consultation with a vetted and credentialed N.C Workers’ Comp Attorney can make a huge difference to your financial future and to the prospects for your rehabilitation.

More Web Resources:

Medical Rehabilitation Nurses Section of NCIC

Sorehand.org

To collect North Carolina Workers’ Compensation benefits, you must first go through a rigorous and formal process. Even if you were legitimately hurt at work and you have a clear case for needing Workers’ Comp; if you don’t go through official channels, you could be denied compensation and long-term coverage. So, take your time now to understand your options. Go over any questions you might have with a credentialed North Carolina Workers’ Compensation attorney, and plot out a strategic course for your rehabilitation and remuneration.

To qualify, your injury must generally meet the following criteria:

1. You got hurt or sick during the course of your employment.
2. The injury or illness arose directly or indirectly from circumstances of your job.
3. The injury and illness created an impairment which led to medical costs and/or lost wages.

Of course, just because you got hurt on the job does not mean that you will automatically collect North Carolina Workers’ Compensation. Conversely, if you got hurt on the job and it was your fault, you are NOT necessarily denied coverage.

Confused? Let’s take a look at some examples to clarify these points.

Let’s say that you and a co-worker horsed around on some industrial equipment, and you fell off and broke your femur. In this case, you likely would NOT be able to collect North Carolina Workers’ Compensation benefits because your negligence led directly to the injury.

Similarly, let’s say that you suffered a stroke on the job. If you were predisposed to stroke (obese, diabetic, history of stroke, etc), and the condition occurred NOT because of your job, you may not be able to collect Workers’ Comp benefits. (You may have alternative avenues to collect support, however.)

Alternatively, let’s say you suffered a stroke during a particularly stressful time on the job. You might be able to argue that the stress of the situation caused or exacerbated the stroke; and thus you should be entitled to Workers’ Comp.

The point is, at the end of the day, subtle distinctions matter a great deal when it comes to North Carolina Workers’ Compensation benefits. To protect yourself against insurance company harassment, problematic negotiations with your employer, snafus with paperwork, and other potential but not so obvious hurdles. It likely behooves you to discuss your matter with a qualified and trained North Carolina Workers’ Compensation lawyer.

A professional attorney can draw upon a deep knowledge of the law and practical applications of the law to provide you with strategic guidance during this difficult time.

More Web Resources:

Workers’ Compensation Criteria

Denied Coverage? It can be maddening!

The state of Washington is locked in a bitter and public battle over the future of WA’s workers’ compensation system -- and the results could have profound implications for workers’ comp in other states, such as North Carolina workers’ compensation. Per an AP story on January 2nd, the Business Industry Association of Washington (BIAW) is filing to get an initiative on the November ballot to privatize workers’ comp insurance. In order to get this issue put to a vote, the BIAW must collect nearly a quarter million signatures from voters. The BIAW has been backed extensively by state Conservatives and Republicans -- and the organization is strongly opposed by state Democrats. At issue is whether Washington’s Department of Labor and Industries would have to compete with private insurers to market workers’ comp insurance products.

The BIAW and its allies argue that the Washington workers’ comp system is oppressive to small businesses -- Washington has traditionally provided excellent and extensive benefits to injured and ill workers. Labor unions and other allies opposed to the BIAW’s proposition have countered that Washington’s system is fine as it is. The Democratic house speaker for the state was quoted in the AP article as saying that, if the BIAW’s proposal passes, it would be “an absolute tragedy.”

As for whether this debate might influence North Carolina workers’ compensation policy, it remains to be seen. Our state is obviously very different, both in terms of the kinds of industries we support, our rules governing how and when small businesses can purchase North Carolina workers’ compensation insurance, and so forth.

Nevertheless, given the political tone of the nation -- in the wake of Republican Scott Brown winning the late Senator Teddy Kennedy’s seat in Massachusetts -- all bets may be off in terms of political surprises across the nation.

To stay in touch with the latest developments regarding North Carolina workers’ compensation policy, you can visit the North Carolina Industrial Commission’s website. If you have any questions regarding your benefits -- or the benefits that a spouse or friend or partner may be eligible for -- it could behoove you to speak with a reputable and highly credentialed attorney right away.

More Web Resources:

Business Industry Association of Washington (BIAW)

North Carolina Industrial Commission’s website

Most North Carolina workers’ compensation matters never wind up at trial. Usually, if there’s a dispute between a claimant and his or her employer or his or her insurance company, an arrangement can be ironed out.

However, in some cases, an insurance company or employer can act so egregiously that the only recourse is to pursue recompense in court. Here are some things to consider when debating whether or not to go to trial over your North Carolina workers’ compensation matter.

1. The process can be time consuming.

The judicial process is slow, sometimes aggravatingly so. You may be called into the courtroom multiple times over the course of months. You and your attorney alike may have a lot of logistical work to do to prepare. It can be months before a judge weighs in. So prepare yourself for a lot of starts and stops -- and budget your time and patience accordingly.

2. Prepare for potentially brutal tactics.

Insurance companies can be quite aggressive -- and even nasty -- when defending decisions to deny coverage or to refuse to pay out a policy. In some cases, companies have actually videotaped plaintiffs on the sly in the hopes of catching them “acting uninjured.” These companies argue that they do this to prevent fraudulent claims, but if you are legitimately injured, this can seem to be quite a heartless tactic. Be prepared for assaults on your word and character, and work closely with your North Carolina workers’ compensation attorney to anticipate these tactics and defend against them accordingly.

3. How you dress and act in the courtroom counts.

In a perfect world, a trial would deal specifically with issues of law and nothing else. But human beings are susceptible to persuasion. How you conduct yourself in the courtroom, how you dress, how you articulate your stance, and how prompt you are to court proceedings can all dramatically influence a judge’s decision. To give yourself the best chances, dress appropriately (and soberly), be polite and attentive to everyone, think through your thoughts before speaking them out loud - particularly when you're addressing the judge, and mentally rehearse your trial prior to the date, so you can envision the best possible outcomes.

4. Prepare both for victory and for loss.

To make the waiting period less excruciatingly stressful, anticipate both victory and defeat scenarios, and focus on tasks immediately at hand to avoid getting caught up in needless speculation. The judge’s decision will come, and when it does come, you (along with your lawyer) can piece together your best next steps of action.

5. Even if a verdict goes your way, the insurance company may still watch you.

Many North Carolina workers’ compensation claimants win at trial only to find themselves in hot water months or even years later. Insurance companies can follow you to make sure that you are as injured as you say you are. If you give an opening, companies may retroactively attack your claim. Again, there have been instances of insurance companies videotaping claimants to try to catch them in the act of “being healthy” in order to negate a claim retroactively.

All this being said, one of the best strategies to ensure victory is to connect with a reputable, trial proven, and results driven North Carolina workers’ compensation lawyer as quickly as possible to create a prepared and proactive strategy.

More Web Resources:

Preparing for Trial

Dealing with Insurance Companies who Videotape People

On December 15, Mecklenburg County passed a measure conferring domestic partner benefits to same sex couples in the area. While the implications of this measure’s passage on North Carolina workers’ compensation issues will no doubt be indirect, this shift in the state’s political winds could portend future modifications to benefits packages and insurance coverage for workers.

According to a news report, the measure passed by a vote of 6-3. (The debate among the voting commissioners was overtly hostile. One commissioner insulted another’s deceased son, prompting a vicious off-microphone exchange.) Mecklenburg County is now the seventh county in the state to provide benefits to same sex couples who work for the government. Others include Greensborough, Durham, and Chapel Hill.

What are the policy implications of this benefits extension for North Carolina workers’ compensation law? At this point in time, it’s difficult to make any firm conclusions. Both the law and cultural mores regarding same-sex marriage in North Carolina are fast evolving.

Advocates of domestic partnership argue that family members of injured workers often get short shrift when it comes to collecting on injury policies. If, for instance, a same-sex couple has been together for 30 years and the bread-winner gets hurt at work and ultimately dies from his injury, why should his partner be denied compensation from his employer and/or the state government?

More Web Resources:

Mecklenburg County

City to consider domestic partner benefits

On 9/1/09, the NC State Court Of Appeals released an unpublished decision in the case of Duffy v. Hanesbrands, Inc, finding for the claimant in this pivotal North Carolina workers' compensation case.

The matter centered around whether the claimant, Duffy, had contracted carpal tunnel syndrome (CTS) while working for her present employer or while training as a sowing machine operator prior to working for Hanesbrands, Inc. The employer argued that the company was not responsible for Duffy’s North Carolina workers' compensation benefits because, in her old line of work, she had been exposed to conditions that could have precipitated CTS; and that the work she did for the company did not expose her to any unusual additional risks for CTS. The prosecution responded that the work Duffy had done at Hanesbrands Inc indeed put her at risk for CTS – she spent up to 12 hours per day doing repetitive manual tasks with her fingers; moreover, she didn’t come down with symptoms until after she had worked at the company for over a year.

Given that carpal tunnel syndrome and other repetitive stress disorders are relatively common in the sowing industry – definitely more common than they are among the general public – the appellate court found for the plaintiff, reasoning that Duffy was likely exposed to extra hazards while working for her employer.

This key North Carolina workers' compensation ruling may pave the way for other CTS and repetitive stress injury claimants to seek and secure better benefits and compensation packages.

More Web Resources:

Sewing instructor able to stitch CTS condition to employment, Risk and Insurance, 9/1/09

How can you determine whether you, a family member, or a co worker may be eligible for North Carolina workers’ compensation benefits?

State law construes eligibility broadly. The law gives claimants significant leeway to make claims for benefits to cover lost wages and medical bills. As long as you suffered an injury on the job and as long as your sickness or injury was not caused by gross misconduct on your part, chances are you will qualify. (Of course, you must have sustained your injury/illness while working for your present employer to collect benefits from that company or from its insurers.)

If you got injured on the way to work or while travelling on a work function, will you qualify?

In most cases. As long as you were engaged in a work related activity, you should be eligible for North Carolina workers’ compensation benefits. Moreover, if your employer (through intentional misconduct or gross negligence) caused or aggravated your injury or illness, you may be entitled to extra benefits, such as double payments.

What kind of injury might constitute an actionable damage?

In general, the injury or illness must be significant. For instance, bruises, contusions, fractures, repetitive stress injuries, mental/emotional trauma, and back problems such as sciatica can all be grounds.

Will your eligibility last indefinitely?

No. You must file a claim within a designated time limit or your claim may be denied, or your benefits may be slashed or reduced. Moreover, just because you qualify for benefits now doesn’t mean that the employer or insurer will cooperate for the life of the claim. And, of course, each North Carolina workers’ compensation case is different and thus requires nuanced handling.

Given all these factors, it generally makes sense for claimants (or even potential claimants) to discuss their issues with a qualified North Carolina workers’ compensation attorney.

Web Resources:

North Carolina Industrial Commission

Who is covered under Workers' Compensation

In the early 1900s, concurrent with the advent of new regulations to protect North Carolina workers (and workers across the Union), other cultural paradigms began to shift. Women’s rights advocates and minority rights advocates, in particular, focused the nation’s attention on the plights of the downtrodden, disenfranchised, and discriminated against.

North Carolina workers’ compensation law owes a significant debt to mid-19th century German and English law. Otto Von Bismarck, one of 19th century Germany’s most colorful leaders, introduced what became known as a Compulsory Plan in 1881. This law followed on the heels of a similar law called the Voluntary Insurance Act of 1876. The provisions of these laws would no doubt sound dated and unfair to us, in that they allowed employers a tremendous amount of leeway. (And indeed, despite these early efforts, employers perpetrated countless egregious violations against laborers during the 19th century and early 20th century. Clogged courts and biased or bribed judges prevented justice from being served in the vast majority of these cases.)

Nevertheless, thanks to the hard work of leaders like Bismarck, Roosevelt, and the leaders of women’s suffrage and minority rights movements, workers’ compensation law bloomed and expanded in its province in the 20th century. In the mid to late 1900s, other state and federal laws were passed to empower injured workers in a variety of trades. Finally, in the 1960s, the U.S. Congress -- motivated in large part by the draconian tactics of President Johnson -- passed a slew of laws that gave umbrella protection to women, minorities, and workers. These laws shifted the paradigm. Henceforth, North Carolina workers’ compensation debates would revolve around interpreting these much higher standards. Indeed, Johnson's 1960s-era legislation to this day serves as the foundation for thinking about how to protect workers and ensure fairness to their employers.

Future of North Carolina workers’ compensation

How will our labor laws evolve? Obviously, it’s practically impossible to predict the twists and turns of cultural norms. Typically, paradigm shifts happen in spurts. As we have seen, the 1960s were a particularly fecund time for the development of new attitudes about workers’ compensation. So, when change comes, expect it to be fast and furious. Demographic shifts in North Carolina should also play a significant role in determining the shape of future laws. As North Carolina’s economy has evolved -- witness the recent explosion of economic activity in the Research Triangle, for instance -- so have the state’s attitudes and even its deep-set philosophies. Indeed, the one thing any prognosticator can say for certain is that today's laws will no doubt look strange and perhaps even absurdly unjust to future generations.

More Web Resources:

A Brief History of Workers' Compensation, Iowa Orthop J. 1999; 19: 106–110.

Workers' Compensation, A Brief History by Lloyd Harger, Division of Workers' Compensation for state of Florida

Historical Treatises of Workers’ Compensation, Internation Association of Industrial Accident Boards and Commissions

The laws and philosophies that inform the North Carolina workers’ compensation system evolved tremendously over the past century and a half. Innovations in industry, changes in the cultural zeitgeist, and demographic shifts have all played a significant role in moving and shaping the law. To understand the implications of current North Carolina workers’ compensation practices, it’s helpful to take in this historical perspective.

To get that perspective, though, we must dial way back. The concept of insuring workers against damages resulting from injuries and lost wages dates back literally thousands of years. In 3000 B.C, Chinese employers instituted one of the very first recorded systems of workers' compensation. Around 1750 B.C, Babylonians spontaneously evolved similar kinds of protections for workers. Both the Roman and Greek empires developed elaborate systems as well -- not only for workers’ compensation but also for life, health, and even disability insurance.

Flashing forward to more modern times, we can see the genesis of many of North Carolina's workers’ compensation traditions in the 19th century, when so-called "heavy industry" began to flourish in the United States. Starting in the mid 1800s and continuing through the early 1900s, laborers had only a puny right to compensation (by modern standards). Many historians argue that it wasn’t until the first decade of the 20th century that a legitimate system of worker protection was put in place. This movement was driven by a handful of charismatic labor rights advocates, among whom was none other than President Teddy Roosevelt. At Roosevelt's behest, in 1908, the U.S adopted the Federal Employers Liability Act, the first federal law designed to protect those who labored in the hazardous environments. The publication of Upton Sinclair's 1906 best-seller, The Jungle, likely also did much to stir public sentiment about ongoing violations of workers' right. In The Jungle, Sinclair described in vivid detail the plight of factory workers at meat packing plants. On not infrequent occasions, workers would fall into sausage making vats and becomes sausage themselves!

More Web Resources:

Workers' Compensation, A Brief History by Lloyd Harger, Division of Workers' Compensation for state of Florida

The History of Workers' Compensation Laws, By Christopher Earle, eHow.com

Workers' Compensation System, Author: Kelly L Allen, MD, Regional Medical Director, IMX-Medical Management Services, EMedicine

1. Waiting too long to go to a doctor.

The longer a claimant waits before seeing a physician about his or her North Carolina workers’ compensation injury, the more dubious his or her claim may be perceived to be. After all, an employer or an insurer can always argue that the injury or impairment occurred after the fact (e.g. when the claimant was not at work) and therefore that the claim should not be allowed. Moreover, delaying treatment can result in exacerbation of the underlying problem. For instance, if you suffer a wrist sprain and fail to treat it, the favoring that results from that injury can lead to secondary “downstream” injuries.

2. Failing to read fine print of your North Carolina workers’ compensation benefits agreement.

Insurance companies are cagey. They can stipulate that claimants meet with rehabilitation specialists, job search consultants, and other intermediaries as a condition of receiving benefits. Claimants may also be required to make themselves available at certain hours, check in with agents, and deal with what can be overwhelming logistical requirements. That’s why it’s so important to vet the fine print. Ideally, this process should fall to an experienced North Carolina workers’ compensation attorney.

3. Speaking with an adjuster or other insurance company representative before speaking with a North Carolina workers’ compensation lawyer.

In the wake of your injury or illness, you may want to “get through” the paperwork as quickly as possible, so you can rest and heal. However, comments made to insurance company representatives can jeopardize your potential settlement. Don’t jump the gun.

4. Playing down an injury or illness.

Good employees don’t like to complain. They want to appear tough, persistent, and diligent in the face of adversity. There is something to this philosophy. But if you’ve been seriously or even mildly injured at work and you fail to attend to it, an array of problems can follow. First of all, mild problems can get worse. For instance, carpal tunnel syndrome or thoracic outlet syndrome can cripple people, notwithstanding mild initial symptoms, such as tingling in the fingertips and soreness in the forearms.

5. Conflating workers’ compensation claims with lawsuits.

A lawsuit and a North Carolina workers’ compensation claim are not the same thing. You can file a claim even if your employer did nothing wrong (i.e. wasn’t negligent, careless, et cetera). The burden of proof required to collect a claim is much lower than the burden of proof you'd need to win a lawsuit.

Web Resources

thoracic outlet syndrome

what is a North Carolina workers' compensation "claimant"?

1. Settling a North Carolina workers’ compensation claim without assessing the true value of that claim.

Even if a claimant has sustained a relatively minor injury, such as soft tissue damage to the pad of the thumb or shin splints from lifting heavy objects, he/she may be ultimately entitled to collect North Carolina workers’ compensation benefits for an entire lifetime. It’s a fact of human psychology that people tend to over-emphasize the difficulties associated with acute injuries and underestimate the difficulties associated with chronic injuries. Thus, particularly when it comes to chromic injuries, claimants tend to undervalue their claims.

2. Thinking that the insurance company is on your side.

Insurance companies are in business for one reason and one only reason only -- to make money. To stay competitive, insurers go through rigorous processes to shave costs and minimize payouts to policyholders. In other words, the insurance company exists in large part to DENY as many claims as it can get away with. This isn’t to say the insurers are malicious. But they are most assuredly NOT working for you (even if individual associates appear sympathetic and helpful.) To that end, if you volunteer information about your condition -- even by saying relatively innocuous things like “I’m feeling better this week” -- your statements can be manipulated, taken out of context, and leveraged against you in the future.

3. Signing an incomplete agreement within the insurance company.

Let’s say the insurance company agrees to settle. If so, the claimant will receive what’s known as an "agreement to pay" from an adjuster. This agreement can be quite complicated, so it’s often in claimants’ interest to have it examined by a competent North Carolina workers’ compensation attorney. Not all of your injuries may be included on the form. For instance, perhaps you hurt your arm AND suffered a finger sprain. If the agreement only stipulates that your arm was injured and you do not correct the form, you may not be able to recoup any costs associated with the treatment of your hand.

4. Even after your claim has been accepted and approved, insurers can still investigate you.

Often North Carolina workers’ compensation claimants feel that they are “in the clear” after settling successfully with insurers. However, this can be a serious mistake. Insurance companies often reserve the right to investigate claims even after they have been processed and paid out, particularly claims for chronic disabilities. Indeed, insurers have gone to incredible lengths to retract, amend, or otherwise renegotiate claims, including, for instance, secretly videotaping claimants.

5. Believing that you can choose from an indefinite number of healthcare providers.

North Carolina workers’ compensation rules limit your choice of providers. An employer or an insurance company may offer you a choice of physicians from a pre-selected list. Once you choose a doctor, it can be very difficult and time consuming to "deselect" that doctor and find someone else… without risking your benefits.

Web Resources

North Carolina Industrial Commission

workers' comp insurance adjuster

On September 15th, Governor Perdue signed amendments to the North Carolina Professional Employer Organization Act intended to aid businesses who use PEOs to handle their North Carolina workers’ compensation and other benefits.

The NC Senate and House passed SB 1029 unanimously. The bill's passage may hold implications for businesses associated with the state’s more than 143 professional employee organizations (PEOs), which function (ideally) to free up employer resources, expand opportunities, and improve both the quality and cost efficiency of benefits packages.

How might the legislation impact day to day North Carolina workers’ compensation claims? At this moment, it’s too early to predict. On the one hand, if the bill helps employers reduce costs and improve/expand benefits, obviously workers stand to gain. In addition, theoretically, the more that small and medium sized business owners outsource their administrative and other work relating to North Carolina workers’ compensation to PEOs, the more uniform the state's standards will be; this uniformity, too, should benefit workers.

On the other hand, as with any piece of legislation, hidden problems may lurk. For instance, the expanded power of PEOs may disincentivize some employers from obtaining higher caliber private North Carolina workers’ compensation benefits packages. Also, if PEOs gain too much power, argue some, than they can make self-interested decisions that could have less than ideal downstream consequences for workers.

All that said, given the general enthusiasm for the bill -- advocates for employers and advocates for workers who might need North Carolina workers’ compensation alike seem relatively pleased by the legislation -- industry watchers seem cautiously optimistic that it could succeed in reducing costs, cutting red tape, and generally improving benefits.

Reuters, North Carolina Passes Professional Employer Organization Act, September 15, 2009

Insurance Journal, North Carolina Updates Professional Employer Organization Requirements, September 15, 2009

More Web Resources

What is a PEO?

NAPEO

On August 21, Reuter’s news agency reported that the American Insurance Group (AIG) won a significant battle against the National Council on Compensation Insurance (NCCI) regarding allegations that the insurer had defrauded workers' compensation pools to the tune of over a billion dollars. The high stakes imbroglio between AIG and NCCI should ultimately have trickle down impacts on North Carolina workers' compensation policy and process.

US District Court Judge Robert Gettleman ruled that the NCCI did not have standing to file the federal lawsuit against AIG. However, the judge did acknowledge that “there is no dispute that … the participating companies have standing to bring claim separately against AIG.”

The lawsuit alleged that AIG had deliberately understated its workers' comp premiums so that it could keep costs down and that, as a result of doing this, the company could garner an unfair competitive advantage. AIG has been raked over the coals many times over the past months due to its widely criticized handling of $180 billion in federal bailout money. While Judge Gettleman’s ruling does not necessarily clear AIG of fallout from this workers' compensation case – in North Carolina or elsewhere – it has bought AIG a bit of a temporary reprieve. And the ruling sent AIG's stock price up by over 6%.

Reuters, AIG wins dismissal of $1 billion workers comp lawsuit, August 21, 2009

Bloomberg, AIG Wins Dismissal of Lawsuit Seeking $1 Billion, August 21, 2009

More Web Resources

AIG

NCCI

In October, 2006, employers who had bought into a self-insured North Carolina workers' compensation group fund got some terrible news. The Phoenix Fund's reinsurance broker, a man named Thomas Raitz, had been engaging in complicated illegal shenanigans to steal from the fund via a money laundering and mail-fraud operation. Investigators from North Carolina’s Department of Insurance concluded that Raitz’s scheme impacted more than $20 million worth of the fund’s money.

Although Raitz was convicted in 2007 after pleading guilty and was subsequently sentenced to nearly 6 years in jail, members of the Phoenix Fund have yet to collect money and damages. Finally, in 2008, Raitz was ordered by the court to pay $19 million to reimburse the Phoenix Fund. To date, Raitz has paid out $18 million, of which $11.5 million has gone to meet the obligations of the fund itself and has not gone to remunerate individual employers. Only $6.5 million collected will be distributed among the injured parties. That said, the North Carolina Insurance Commissioner, Wayne Goodwin, released a statement that sounded a note of optimism for these employers, assuring the victims that they would “get back every available penny” owed to them.

Triangle Business Journal, North Caroilna employers to get $6.5M from Phoenix Fund, August 10, 2009

Workforce Management, Workers’ Compensation Fund Members Hit by Fraud Get Distributions, August 14, 2009

More Web Resources

North Carolina Insurance Commission

North Carolina’s Department of Insurance

According to a memo dated August 14, 2009, the North Carolina Industrial Commission has changed its policy for compromised settlements. Effective October 1, fees for North Carolina workers' compensation compromised settlement agreements will be hiked up to $375.00. This change was made pursuant to section 14.15 of a bill passed earlier in the year, Session Law 2009-451. The Chair of the North Carolina Industrial Commission, Pamela Young, along with six commissioners, signed off on this change.

Who might this fee hike impact? Per the NCIC's memorandum, a wide variety of parties might be affected. These might include self-insured employers, administrators, and carriers. Compromised North Carolina workers' compensation settlements can get complicated, legally speaking, so it may behoove you to consult with an experienced professional to make sure that you file the correct paperwork to protect your rights as well as the rights of your employees (if they might be impacted by your decisions).

Carriers, administrators, and others who need to stay abreast of day to day changes in North Carolina workers' compensation law can visit the NCIC website (www.ic.nc.gov) for an updated newsfeed about fee changes, conference bulletins, news, and other relevant information.

North Carolina Industrial Commission, Increase in Fees for Compromise Settlement Agreements

More Web Resources

Compromised settlements

Session Law 2009-451

Per a news bulletin on the NC Industrial Commission’s website, the fourteenth annual North Carolina Workers' Compensation Educational Conference will be held this year from October 7th through 9th at the Raleigh Convention Center on South Salisbury Street. According to the conference brochure, the purpose of the symposium is to “educate those who participate in the North Carolina workers' compensation system regarding current rules, procedures, policies, and forms, and to provide an opportunity for dialogue among these participants.”

Various commissioners, attorneys, insurance representatives, and medical professionals will present, and individuals can attend specialized break out sessions during the conference. Registration fees range from $275.00 per person for registrants who pay before 08/15/09 to $350.00 per person after 09/15/09. The proceeds from the conference will be given to the International Workers' Compensation Foundation, a non-for-profit group that assists with education and research. Certain individuals, such as attorneys, providers, and carriers may be able to collect continuing education credits for attending the conference. (Insurance adjusters may want to discuss any credit issues with the Department of Insurance, which can be reached at (919) 807 6800.)

The North Carolina Workers' Compensation Education Conference generally boasts a diverse guest list, and discounted rates for groups are available. Attendees often include administrators, employers, HR professionals, attorneys, healthcare analysts and providers, and vocational therapists. This conference is a joint venture put together by the International Workers' Compensation Foundation and the NC Industrial Commission.

More Web Resources

NC Industrial Commission

International Workers' Compensation Foundation

Raleigh Convention Center

5. If you were hurt in a car accident on the way to or from work, can you make a workers' compensation claim?

Answer: Depends on the circumstances. In some cases, it’s easy to make a case. (For instance, a pizza delivery person who gets into an auto accident on the way back from a delivery and suffers spinal cord damage can make a workers' comp claim AND a claim against the driver who hit him.) Given situations like this, employers should keep their North Carolina workers' compensation insurance premiums paid and up to date.

6. Can individuals or employers self-insure for workers' compensation?

Answer: In many cases, yes. Self-employed workers and employers can often self-insure, provided they meet requirements stipulated by NC state law.

7. Can you claim NC workers' compensation benefits even if your employer was not negligent?

Answer: Yes. Many potential claimants never file for workers' comp because, in their minds, their employers didn’t “do anything wrong.” (For instance, if an employee crashed his car on the way to a work related event, the employer can hardly be blamed.) But a workers' comp claim is not the same thing as a personal injury suit. If you've bee hurt at work, you can make a claim regardless of whether anyone was at fault. (That said, however, employees cannot generally sue their employers directly for benefits.)

8. How can you learn more about the North Carolina workers' compensation process?

Answer: The North Carolina Industrial Commission website (www.ic.nc.gov) contains a wealth of information on the subject.

9. Do you need an attorney to collect workers' comp benefits?

Answer: Not necessarily. However, in many cases, employees can get shortchanged. Insurance companies can use legal loopholes and other unsavory tactics to deny payouts to otherwise qualified claimants. In addition, sometimes employers don’t fully cooperate and even retaliate against workers who file claims. To protect yourself and ensure that you get the maximum remuneration for your pain, suffering, and medical bills, it may behoove you to connect with an experienced, aggressive North Carolina workers' compensation attorney.

More Web Resources:

North Carolina Bar Association Pamphlet on Workers' Compensation

NC Workers' Compensation Law

North Carolina Industrial Commission

Whether you’re an experienced North Carolina workers' compensation insurance adjuster or an NC employee who’s recently been hurt on the job, here are some answers to basic questions you might have about the origins and process of the state’s system.

1. How is workers' compensation different from long term disability?

Answer: Workers' comp benefits pay out for injuries sustained during the course of work. Disability benefits pay out for non-work related injuries. For instance, if you lost your hand in an assembly line accident on the job, you’d file a workers' compensation claim. If, on the other hand, you lost your hand in a non work related context – for instance, while fishing with your family – you would file for disability.

2. Are all companies in the state mandated to carry North Carolina workers' compensation insurance?

Answer: Most are. Exceptions apply, however. If you’re an employer or prospective employer, and you’re not sure whether or not you need to acquire insurance, the North Carolina Industrial Commission can advise you. You might also consider retaining an attorney. After all, employers who fail to carry enough workers' comp insurance can be hit with pretty serious penalties if they’re caught, and their personal assets may even be up for grabs in certain situations.

3. If you were hurt and your employer doesn’t have insurance, what are your options?

Answer: It may be possible to make a claim against the company’s assets or against your employer’s personal assets. You also may have other legal mechanisms available to collect payment. Discuss your matter with an attorney.

4. Can independent contractors collect workers' compensation?

Answer: Independent contractors are not considered employees, according to North Carolina workers' compensation law. This means that, if a contractor gets hurt while on the job, he is generally not entitled to file a claim against the person or entity who hired him. However, depending on the injury, the nature of the work, and the type of working arrangement, in some situations, independent contractors can make a case. For instance, an independent contractor might argue that he should have been designated as employee and thus should be entitled to collect benefits.

More Web Resources

NC's Workers' Compensation Act

Independent Contractor

North Carolina Industrial Commission

Let’s discuss some myths and realities concerning North Carolina workers’ compensation.

Myth #1 -- You must see the doctor that your insurance company (or employer) provides.

Reality – In the event that the first North Carolina workers’ compensation physician who treats you does not meet your needs, you can go back to your insurance company or to your employer to request a change of physician. Legally, you’re allowed to do this at least one time, and your employer/insurance company must compensate you for the visit.

Myth #2 -- If you fail to file for benefits within your employer’s timeline, you won’t get compensation.

Reality: Employers don’t make North Carolina workers’ compensation laws -- the state legislature does. In most cases, you have up to two years following your injury to file a claim.

Myth #3 -- Insurance companies will cooperate if your claim is legitimate.

Reality: Insurance companies are primarily in business to make money. Claims adjusters will likely dig into your claim looking for as many possible reasons to reject it, disqualify it, or erode your settlement amount. In fact, if you discuss your injury with an insurance company representative before speaking with an attorney, you can accidentally imperil your North Carolina workers’ compensation claim -- just by misspeaking or citing the wrong numbers. While insurance companies are not always adversarial, they can be. That’s why it's generally smart to retain an experienced and intuitive legal representative -- someone who’s purely interested in your well-being.

Myth #4 -- Retaining an expensive North Carolina workers’ compensation attorney will chip into your benefits.

Reality: The benefits of working with a knowledgeable, results-oriented attorney in general far outweigh the nominal costs of services. Consider: by simply extracting a few extra percentage points on your settlement, you can usually pay for your attorney’s fees and then some. To settle for a fair amount, it makes sense to work with experts who've delt with similar cases hundreds of times. Exceptions can apply, of course. For instance, if you've closely studied North Carolina workers’ compensation law, perhaps you can negotiate on your own behalf. But even then, you might be advised to retain counsel, since having a proxy negotiate on your behalf gives you extra leverage.

North Carolina Workers’ Compensation Law

NORTH CAROLINA STATE GOVERNMENT
WORKERS' COMPENSATION EMPLOYEE HANDBOOK

More Web Resources

US DOL Statistics on Workers' Comp

NC Industrial Commission

According to a study conducted by the non-partisan Workers’ Compensation Research Institute (WCRI), North Carolina’s workers’ compensation payment per claim costs are significantly higher than average when compared to similar costs in other states. The study, CompScope TM Medical Benchmarks, revealed that North Carolina workers’ compensation payments per claim exceeded the average of a group of 13 states by 13%. State lawmakers have already reacted to the problem by imposing fee schedule changes; these began taking effect in July 2009. Various policy groups have also proposed initiatives to reduce payouts for certain hospital costs, physical medicine, and outpatient services. The Office of State Budget and Management has calculated that the fee schedule changes for 2009 should save the state over $35 million.

What was driving the abnormally high payments per claim in the state?

The CompScope survey points to many culprits. For one, the state has a higher surgery rate than other states surveyed. In addition, both outpatient and inpatient payments per claim and payments to providers are much higher than the median for the states studied. Bear in mind that these figures don’t mean that North Carolina workers’ compensation claimants are necessarily getting more money or a better deal on their medical services. The costs have gone up for almost every party within the healthcare system across the board.

Workers` Compensation Payments Per Claim to North Carolina Hospitals Higher Than Typical of 14 States and Growing, Says WCRI Study, Reuters, Fri Jul 10, 2009

North Carolina: Study finds payments per claim growing rapidly, Risk and Insurance.com, July 30, 2009

More Web Resources

CompScope

Workers’ Compensation Research Institute

Is there a non-profit state agency that can provide unbiased information about North Carolina workers’ compensation benefits, eligibility and rights?

Yes. The North Carolina Industrial Commission (based out of Raleigh) is reachable at (919) 807-2500. You can also contact workers comp info specialists directly toll free at (800) 688-8349 or email someone for assistance at infospec@ic.nc.gov.

If your employer does not report your injury, for whatever reason (e.g. negligence, refusal to assist), is there anything you can do?

Yes. Collect a claim Form 18 or Form 18-B and file it with the NC Industrial Commission within two years of your on the job injury.

Can injured employees get benefits for using chiropractic services?

In some cases, yes. If your employer's insurer allows, you can have up to twenty visits to a designated chiropractor paid for, provided that the services are “medically necessary.” If you require more chiropractic services, the chiropractor needs to contact the employer directly.

If you have been injured at work, what steps should you take immediately?

First of all, tell your employer -- both verbally and in writing. It’s very important that you keep track of all of your correspondence and file it and date it. You should make sure to do this within thirty days of your injury, unless your recuperation has rendered you unable to make such a communication.

In the event that your employer lacks North Carolina workers’ compensation insurance, do you have any recourse to collect benefits?

Yes. First of all, the North Carolina Industrial Commission’s fraud hotline should be notified. You can call toll free at (888) 891-4895 or email a government representative at fraudcomplaint@ic.nc.gov. If you’ve been injured and then you discover that your employer lacks insurance, contact the Commission. You’ll likely have to fill out two forms -- Form 33 and Form 18 -- to attempt to collect benefits.

More Web Resources

North Carolina Industrial Commission

NC Workers Compensation Act

North Carolina workers' compensation insurers, independent employers, and laborers paid close attention to California Insurance Commissioner Steve Poizner's July 8th announcement that rejected increases for workers' compensation rates. Poizner, who many believe might be positioning to run in California’s next gubernatorial election, argued that inefficiencies in workers' comp bureaucracy indicate that rates should not be arbitrarily raised. Various parties reacted predictably to Poizner’s announcement. For instance, California’s State Compensation Insurance Fund, the largest insurer in the golden state and a model for many North Carolina workers' compensation insurers, vowed to increase rates by 15%. The Workers' Compensation Insurance Rating Bureau argued that the state rate should be raised by almost 24%.

Nevertheless, Governor Schwarzenegger and other California GOP operatives lauded Poizner’s decision not to advocate a "pure premium" increase. But industry watchers believe that compensation rates will likely continue to climb in California and elsewhere, particularly in states with diverse economies, such as North Carolina. Whether CA’s regional moves will influence policy in North Carolina remains to be seen. California traditionally serves as a policy bellwether for other states. But North Carolina is often slow to follow the lead of its counterpart on the opposite coast.

Poizner Says No to Workers' Comp Rate Increases, Sacramento Business Journal, July 8, 2009

Poizner Balks at Workers' Comp Hike, Los Angeles Business Journal, July 8, 2009

More Web Resources:

'Pure Premium' Q&A

Steve Poizner

After a drawn-out legal battle that consumed much of the political oxygen in Minnesota for over half a year, Al Franken was finally sworn-in as the junior senator from Minnesota this week, giving Democrats a filibuster-proof majority of 60 votes in the U.S. Senate. Franken beat Coleman by a nose, notwithstanding obstacles such as a 2005 claim from the Workers' Compensation Board of New York that Franken’s company, Alan Franken Inc., had failed to pay for workers' comp insurance for three years. (Similar North Carolina workers' compensation claims often beset small business owners in NC.) The charges against the former comedian came in the midst of a heated battle for the Democratic Party’s nomination and nearly cost Franken the election.

Franken’s troubles began in 2005, when New York's Department of Labor noted that Alan Franken Inc. had employed up to 17 people as independent artists and writers. The NY Workers' Compensation Board sent Franken a number of notices, to which neither he nor his company responded, after which the state issued a judgment against the comedian. Following the public revelations of his workers' compensation insurance mishap, Franken quickly paid off monies owed.

Local politicos embroiled in North Carolina workers' compensation insurance problems similar to Franken’s would do well to take heed of this cautionary tail and manage their insurance issues prior to launching their campaigns.

Franken faces $25,000 workers' comp penalty, Star Tribune, March 12, 2008

New York State Fines Al Franken's Corporation $25,000 for Not Carrying Workers' Compensation, FOX News, March 5, 2008

More Web Resources

Al Franken

Norm Coleman

The US House of Representative’s Bill no.635, also known as the National Commission on State Workers’ Compensation Laws Act of 2009, may hold significant implications for North Carolinians who have been hurt on the job. The House Bill will require a congressional commission to examine the recommendations and findings from last year’s commission and to reevaluate the adequacy of current workers’ compensation laws in North Carolina and elsewhere. The commission has the power to suggest extra remedies for workers, including increased benefits, medical coverage, and legal resources. Currently, the Bill is in the House Committee on Education and Labor.

The Act may also provide extra benefits for sick North Carolina firefighters who have been exposed to carcinogenic elements during the course of work. Emergency responders often enter environments filled with smoke, volatile organic compounds, and other carcinogens. Research suggests that professional and volunteer firefighters suffer higher than average rates of related cancers, lung ailments and other conditions. An amendment to the current North Carolina workers’ compensation rules to provide extra benefits to cancer stricken firefighters and first responders might have retroactive applicability. This is because lung ailments, cancers, and other chronic conditions often take years (if not decades) to manifest. A single acute inhalation from one fire, for instance, can result in melatomas decades later. Repeated exposure to low, but not negligible, levels of carcinogens can increase risk for diseases and certain cancers. Firefighters also show higher rates of asbestos inhalation damage, psychological trauma, and certain repetitive stress injuries.

Workers Compensation Benefits To Be Extended To Firefighters With Cancer, WebWire, May 26, 2009

More Web Resources:

House Committee on Education and Labor

US House of Representatives

A relatively high profile North Carolina workers’ compensation case has ended in victory for the defendant, Nash Community College. The case involved a GED instructor named Jamaal Johnson, who had worked for the college in 2007.

According to the facts as stipulated by the North Carolina Court of Appeals, the petitioner sought workers’ compensation in connection with a work absence from April 26th through June 19th of 2007. Mr. Johnson had a note from Dr. Raymond Baule, which claimed that Mr. Johnson would not physically be able to work during this period. However, the college’s HR department noted that Dr. Baule was not regarded as a qualified workers’ compensation physician. HR thus set an appointment for Mr. Johnson with a second doctor, Dr. Robert Saul, to reevaluate the complaint. After observing the petitioner, Dr. Saul concluded that there was “no reason” why Mr. Johnson could not return to work. The HR department sent several letters to Mr. Johnson, alerting him to the fact that he had not qualified for North Carolina workers’ compensation needed to return to work. But the petitioner never claimed (or possibly ignored) those letters. Eventually, the college fired the instructor for his absence. Mr. Johnson subsequently sought unemployment benefits pursuant to North Carolina law and got turned down. In March of 2009, he appealed to the state’s Employment Security Commission for a more positive ruling, but the ESC turned him down as well because it weighted Dr. Saul’s opinion (as an official workers’ comp doctor) more highly than it did Dr. Baule’s.

Jamaal Johnson v. Nash Community College, North Carolina Court of Appeals, March 3, 2009

The ballad of Jamaal, Baule and Saul, The HR Specialist, June 21, 2009

More Web Resources:

Nash Community College

Workers’ Compensation Rules in NC

The North Carolina Department of Labor is reportedly deep in the process of investigating ten different entities that might be liable for damages in the June 9 explosion at a North Carolina Slim Jim plant that killed three workers and injured many more. The explosion has been regarded one of the most prominent worker safety failures in the state’s recent history and has merited a federal investigation.

Three companies in particular may shortly face a variety of workers’ compensation claims stemming from the accident, according to reports. Jacobs Engineering Group, Southern Industrial Constructors, and Energy Systems Analysts may all be charged with negligence with respect to the failure of the Slim Jim plant’s gas lines. (Investigators believe that a water heater gas pump accidentally allowed gas to leak into the plant’s pump room, setting the stage for the explosion.) Investigators suspect that employee negligence may also have contributed to the leak.

An attorney representing two injured claimants has publicly hinted that Jacobs Engineering Group and Energy Systems Analysts did not have the proper licensing to engineer gas line hookups and that their lack of experience and certification may have precipitated the dangerous conditions that led to the massive explosion. So far, the three aforementioned companies and other potential defendants (including ConAgra) have parsed their public statements carefully. Given the fluid dynamics of this complicated and likely long term North Carolina worker’s compensation case -- as well as the amount of money potentially at stake -- prospective claimants and defendants want to avoid accidental admissions of guilt or other admissions that might compromise their legal leverage.

Third Body Found in Slim Jim Plant Explosion Rubble, FOX News, June 10, 2009

Gas Leak Caused Fatal North Carolina Slim Jim Plant Explosion, Insurance Journal, June 15, 2009

More Web Resources:

Energy Systems Analysts

Southern Industrial Constructors

On April 21, 2009, the North Carolina Court of Appeals overturned a monetary ruling made by a lower court in the NC workers’ compensation case of Crawford v Phillips.

Facts of the Case

Crawford v Phillips involved the case of a worker at a carwash who got hurt in a slip and fall and sued his employers for injuries he sustained. The lower court awarded him medical benefits as well as disability payments.

Lack of Insurance Coverage

Under North Carolina law, employers who have more than three employees must carry insurance for workers’ compensation. The carwash owner never had this insurance. North Carolina law also mandates that owners must pay penalties for non-compliance.

Debate over How Much to Compensate for Lack of Insurance Coverage

The commission initially found the employer liable for damages of $50 a day, starting from the day of the accident, pursuant to the above-mentioned law that mandates insurance coverage. The unsatisfied claimant appealed this decision, arguing that his employer should have to pay penalties backdated--not from the moment of injury--but from the moment when the employer first set up his business back in 1988.

The Court of Appeals found for the claimant, ruling that the independent commission did not have the power to make law and that the carwash owner should have to pay out penalties backdated to 1988. The court has sent the case back down to the commission to adjust the penalty amount in accordance with its decision.

Amount of Penalty for Lack of Coverage Determined by Comp Law, Risk & Insurance, June 15, 2009

North Carolina Court of Appeals, April 21, 2009

More Web Resources:

Workers' Comp Insurance

North Carolina Court of Appeals

On May 11th, 2009, the North Carolina House Judiciary Committee considered a measure put forth by the North Carolina House Insurance Committee to cut workers’ compensation benefits for North Carolina citizens eligible for social security benefits.

The measure sent to the House closely mirrors Senate Bill 975, which had been submitted to the North Carolina Senate Commerce Committee at the end of March.

The proposed measures would require senior citizens over the age of 65 to curtail their workers’ compensation benefits 300 weeks after they become eligible for government benefits. The point of these measures is to cut government costs and help North Carolina recover from the throes of the economic recession that have plagued it and the rest of the nation. The proposals follow in line with a similar measure debated recently by the Utah Supreme Court. In that instance, the Utah court ruled that it is unconstitutional for citizens to claim workers’ compensation benefits and social security benefits concurrently unless they can justify said claims to an appeals board.

Per the proposed measure, House Bill 1022, North Carolina workers would have their workers’ comp benefits cut 300 weeks following either their 65th birthday or the commencement of their eligibility for social security benefits. The decisions made by the North Carolina House Judiciary and Senate Commerce Committees could have profound implications for state employers and employees alike, given that the monies at stake could amount to tens of millions of dollars per year.

North Carolina May Cap Workers' Compensation for Retirees, InjuryBoard.com, May 28, 2009

Workers' Compensation, Social Security Disability Insurance, and the Offset: A Fact Sheet, U.S. SSA Office of Policy, 2003/2004

More Web Resources:

Senate Bill 975

House Bill 1022

A workers' compensation case involving a Fine Arts and Ceramics Professor at Virginia Commonwealth University has led to an ongoing debate about building safety at the school and may lead to lawsuits in Virginia, North Carolina, and elsewhere.

Allan Rosenbaum had been working in VCU’s Fine Arts building for years, teaching crafts and ceramics. After inhaling significant quantities of fine silica dust over a period of years, Rosenbaum developed the incurable degenerative disease, silicosis. He brought a claim against VCU via Virginia’s Workers' Compensation Commission and won disability benefits of over $210,000.

University Ignores Red Flags

Rosenbaum’s workers' compensation suit tipped off university officials to the seriousness of the situation in the Fine Arts building. Numerous faculty members have since attested to the fact that the crafts area is -- and has been -- extremely dusty. Plastic sheets at one time covered ventilation screens. During kiln cleanings, massive clouds of silica dust spread out into the halls and propagated through the school’s ventilation system to other classrooms and buildings.

Rosenbaum was first diagnosed with silicosis by a colleague at VCU’s medical department, who warned school administrators of the hazards of continuing to expose faculty and students to large amounts of silica dust. VCU administrators responded by putting up notices about the dust and conducting an internal test of air quality. These tests found that dust levels were likely not dangerous; but critics of the administration retorted that the tests conducted were not accurate.

A North Carolina faculty member who had been working as a visiting professor testified that the Fine Arts building had terrible ventilation throughout his tenure at VCU.

Whether Professor Rosenbaum’s ordeal leads to other workers' compensation claims against VCU for silicosis or other inhalation diseases is anyone’s guess. Since silicosis is a cumulative condition, individuals with the longest-term exposure to dusty conditions have the greatest risk for developing symptoms.

When dealing with workers' compensation cases, injured parties often require strong, experienced legal help to advocate for their rights and get them appropriate compensation.

Professor Sickened by Dust, but VCU Says Facilities are Safe, Richmond Times-Dispatch, June 8, 2009

Suffering for Art, Workers Comp Insider, June 8, 2009

Related Web Resources:

Virginia Commonwealth University

Preventing Silicosis

The June 9, 2009 explosion of a Slim Jim plant in Garner, North Carolina will undoubtedly lead to NC workers' compensation and wrongful death claims and could result in a drawn out court battle between the giant food manufacturer and the victims of the tragic blast.

Facts about the Blast

Investigators still don’t know what caused the 500,000 square foot building to explode Tuesday morning. One report suggests that an unidentified person called ConAgra’s Omaha, Nebraska headquarters over the weekend and threatened to bomb the Garner plant. Authorities are investigating this threat.

All told, 38 people were significantly injured in the blast. Three have died from injuries sustained. Four of the 38 injured survivors are being treated for severe second and third degree burns. Several firefighters at the scene got sick from ammonia fumes. The ConAgra building is still being tested for structural integrity: on-site investigators don’t want to risk getting crushed or injured while researching the source of the blast.

Accidental or Premeditated?

It remains to be seen whether the ConAgra explosion was some kind of mechanical or chemical accident, or whether it was an act of domestic terrorism. The victims of the blast and the families of the victims who were killed will no doubt seek compensation for pain and suffering, injuries, potential wages lost, therapies, and other damages.

While a giant company like ConAgra no doubt carries workers' compensation insurance for contingencies like these, this situation is so much bigger than standard North Carolina workers' compensation cases that the legal wrangling will almost certainly be broader in scope than is typical.

Who Will Pay?

• If the explosion was caused by negligence on ConAgra’s part, then the company and its insurers will likely have to pay out claims.
• If, on the other hand, a defective machine, component, or chemical caused the blast at the NC Slim Jim plant, then other entities will likely be held liable.
• And if it turns out that the incident was indeed an act of terrorism or subterfuge, the claimants’ case would be altered in many regards.

Hundreds of Other Claims?

It’s also significant to note that over 900 people work at the plant. Assuming that the plant will be out of operation for a while, pending the investigation, these employees won’t be able to work and collect paychecks. They, too, may seek compensation for wages missed, considerably complicating this already tangled matter.

2 Dead, 1 Missing after Slim Jim Plant Explosion, June 9, 2009, CNN

Third Body Found in Slim Jim Plant Explosion Rubble, June 10, 2009, FOX News

Related Web Resources:

Slim Jims

Con Agra