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Injured Workers, Advocates Oppose "Largest-Ever" Workers Comp. Insurance Rate Increase
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California Applicants Attorneys Association
www.DenialofCare.org
FOR IMMEDIATE RELEASE: Thursday, August 12, 2010
Injured Workers, Advocates Oppose "Largest-Ever"
Workers Comp. Insurance Rate Increase
SACRAMENTO – Injured workers and their advocates today opposed the
insurance industry’s plan to increase workers compensation premiums by 30%.
"We agree with the governor that a 30% increase appears unjustified. As the
governor pointed out, there simply is no evidence that insurers' costs have
increased," said Adam Dombchik, President of the California Applicants'
Attorneys Association (CAAA).
"Injured workers are the only ones who have lost under the changes made in 2004.
The number of workers compensation claims has been cut in half since SB 899, but
not the number of injuries. Many injured workers are turning to group health
policies, social security, disability and other public providers – because they can’t
get medical care from the insurance companies," said Dombchik. "That means that
taxpayers are paying the bills for some on-the-job injuries that insurance carriers
should cover. Insurance companies now want employers to make up for the poor
economy and investment returns. These insurance companies have pocketed $26
billion in profits since 2005, and they need to learn to live within a lean budget, as
have workers, our families, and most other businesses."
The advocates noted that insurers have the ability to control costs through medical
treatment guidelines, utilization review and medical provider networks. "Much of
the industry’s proposed increase would actually pay for insurers' expenses to
review, and almost always reduce, delay or deny recommended medical care, not
to pay for medical care injured workers need so they can return to work," said
Todd McFarren, CAAA Legislative Chair.
News release: Rate Hike Unnecessary, August 12, 2010; page 2
"Why is so much being spent to overrule medical care recommended by the
insurers’ own handpicked doctors? Injured workers are required to see doctors
chosen by the company, so why are they overruling these doctors?" said Jesse
Ceniceros, president of VotersInjuredatWork.org, a nonprofit California group
fighting for medical care and disability compensation for those injured on the job.
"Since the majority of treatment is provided through medical networks established
by employers or insurers, and virtually all fees are subject to a fee schedule, why is
so much money going to cost control?"
McFarren, CAAA Legislative Chair, said, "It is folly to believe insurance industry
claims that the reforms are no longer reducing costs. Statutory limits on physical
therapy and chiropractic treatment are still in place, medical treatment
authorization requests are still judged against nationally developed treatment
guidelines and are subject to utilization review, outpatient facility fees are still
subject to the Medicare fee schedule, injured workers can still receive a maximum
of 104 weeks of temporary disability, penalties for unreasonable delay are still
minuscule, and permanent disability awards are still subject to apportionment."
Workers compensation insurance rates declined sharply through 2009, and at $2.35
per $100 of payroll, are down 65% from their peak of $6.45 at year-end 2003. This
drop cut insurers’ premium by more than half, from $23.5 billion in 2003 to $10.4
billion in 2008, saving employers $14 to $15 billion per year.
For more information, visit: www.denialofcare.org
(end)
http://www.workerscompensation.com/compnewsnetwork/news/ca_gov_concerns_on_wc_rates.html
9/2/2010
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California Gov. Schwarzenegger Opposes Recommended 30% Workers' Comp Rate
August 13, 2010
California Gov. Arnold Schwarzenegger said he is concerned that the recommended 30 percent increase in the workers' compensation claims cost benchmark will adversely affect state businesses.
In a letter he sent to Insurance Commissioner Steve Poizner, Schwarzenegger said, "We must protect the 2004 workers' compensation reforms, which reduced rates by 65 percent and have saved employers more than $50 billion. These reforms provided insurance companies with powerful tools to control costs, and they must use these tools effectively before we consider raising employer rates."
http://www.insurancejournal.com/news/west/2010/08/13/112421.htm#ixzz0wVFj2ZTK
9/2/2010
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Farmers Encouraged to Use Online Safety Solutions to Decrease Risk
12 August, 2010 12:22:59 Republished with permission from ReduceYourWorkersComp.com
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Farmers are urged to avail themselves of a free online risk assessment system designed to enhance farm safety and reduce risk in a joint appeal by the Health & Safety Authority, the Irish Farmers Association and FBD Insurance.
The online tool has reportedly proven very popular with farmers and has attracted hundreds of hits since its pilot program in March. The system allows farmers to complete their farm safety statements in a user-friendly fashion, and is the first of its kind for the agricultural sector in the world.
The new system also allows farmers to keep their risk assessment statements up to date to ensure farm families carry out their work in the safest possible way. Martin O’Halloran, chief executive of the Health and Safety Authority (HSA) said, “Improving safety and health in agriculture continues to represent one of our biggest challenges. By working together we can greatly raise safety standards and reduce farm accidents. (WCxKit)
“We believe this free online risk assessment tool will assist farmers in making their farms safer places to work and live for themselves, their children and their families. It has been developed with support from FBD, and with the knowledge that Irish farmers are recognized as European leaders when it comes to adopting new technologies. We are delighted that the IFA are supporting us in re-launching this on-line tool.”
IFA President John Bryan said the promotion of the online system was timely as activity on farms significantly increases during the summer and children are on their school holidays. “Farmers have embraced technology in many facets of their work and I have no doubt this online tool will continue to be a success. Farms are unique workplaces with a combination of livestock, machinery and family members young and old. My advice to farmers is to prioritize health and safety as it is one of the most important aspects of their work. (WCxKit)
“I would encourage farmers to undertake their own farm risk assessment and produce a farm safety statement as it is time well spent and will help avoid the anguish that follows a farm accident,” he concluded.
\ Author Robert Elliott, executive vice president, Amaxx Risks Solutions, Inc. has worked successfully for 20 years with many industries to reduce Workers’ Compensation costs, including airlines, healthcare, printing/publishing, pharmaceuticals, retail, hospitality and manufacturing. Contact: Info@ReduceYourWorkersComp.com or 860-553-6604.
WC Calculator: http://www.LowerWC.com/calculator.php
TD Calculator: http://www.LowerWC.com/transitional-duty-cost-calculator.php
Do not use this information without independent verification. All state laws vary. You should consult with your insurance broker or agent about workers' comp issues.
©2010 Amaxx Risk Solutions, Inc. All rights reserved under International Copyright Law. If you would like permission to reprint this material, contact Info@WorkersCompKit.com
http://www.workerscompensation.com/compnewsnetwork/blogwire/farmers_encouraged_to_use_online.html
9/2/2010
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Seven Californians Convicted in Workers Comp Case
12 August, 2010 12:25:39 Republished with permission from ReduceYourWorkersComp.com
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The Monterey County (California) District Attorney's Workers Compensation Fraud Unit has reported the convictions of seven people in six cases.
A female owner admitted she failed to pay payroll taxes and secure workers comp insurance for her business, Your Hometown Sewing Center in Marina.(WCxKit)
Judge Robert Burlison sentenced her to three years’ probation and ordered her to pay a $5,000 fine. She must pay $5,233 in restitution to the state Employment Development Department and has paid $2,744 in back taxes.
Six other individuals pled guilty or no contest to charges of failing to secure workers comp.
Employers are required to register their businesses and to report and pay taxes to Employment Development Department for all employees.(WCxKit)
\
Author Robert Elliott, executive vice president, Amaxx Risks Solutions, Inc. has worked successfully for 20 years with many industries to reduce Workers’ Compensation costs, including airlines, healthcare, printing/publishing, pharmaceuticals, retail, hospitality and manufacturing. Contact: Info@ReduceYourWorkersComp.com or 860-553-6604.
WC Roundtable LinkedIn: http://www.linkedin.com/groups?homeNewMember=&gid=1922050/
FREE IQ Test: http://www.workerscompkit.com/intro/
WC Books: http://www.LowerWC.com/workers-comp-books-manuals.php
WC Calculator: http://www.LowerWC.com/calculator.php
TD Calculator: http://www.LowerWC.com/transitional-duty-cost-calculator.php
Do not use this information without independent verification. All state laws vary. You should consult with your insurance broker or agent about workers' comp issues.
©2010 Amaxx Risk Solutions, Inc. All rights reserved under International Copyright Law. If you would like permission to reprint this material, contact Info@WorkersCompKit.com
http://www.workerscompensation.com/compnewsnetwork/blogwire/seven_californians_convicted_in_workers.html
9/2/2010
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OSHA Cites M&G Equipment Group Following Worker's Death
13 August, 2010 01:13:00 compnewsnetwork
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Alamo, TX (CompNewsNetwork) - The U.S. Department of Labor's Occupational Safety and Health Administration has cited M&G Equipment Group Ltd., doing business as M Construction in Alamo, Texas, with two alleged willful and six alleged serious violations following the death of an employee who was working in a trench installing a storm drainage system.
"A company's failure to protect its workers from cave-ins is simply unacceptable," said Michael Rivera, OSHA's area director in Corpus Christi, Texas. "If OSHA's standards regarding proper trench sloping, shoring and shielding were followed, it is possible this tragedy could have been avoided."
OSHA's Corpus Christi Area Office began its investigation on March 5 at South Tower Road in Alamo. Two willful violations were issued for failure to provide workers with adequate protection from a possible trench cave-in and failure of a competent person to take action where there was evidence of a possible trench cave-in. A willful violation is one committed with intentional, knowing or voluntary disregard for the law's requirements, or with plain indifference to employee safety and health.
Serious citations were issued for failure to provide workers with safe egress when working in a trench, keep excavated soil a safe distance from a trench, use a properly designed trench shield, and ensure workers are trained on excavation hazards. A serious citation is issued when there is substantial probability that death or serious physical harm could result from a hazard about which the employer knew or should have known.
Proposed penalties total $53,550. OSHA standards mandate that all excavations 5 feet or deeper be protected against collapse. Detailed information on trenching and excavation hazards is available on OSHA's Web site at http://www.osha.gov/SLTC/trenchingexcavation/index.html.
M&G Equipment Group develops commercial and residential construction projects, and employs about 15 workers. The company has 15 business days from receipt of the citations to comply, request an informal conference with OSHA's area director in Corpus Christi, or contest the citations and penalties before the independent Occupational Safety and Health Review Commission.
Employers and employees with questions regarding workplace safety and health standards may contact OSHA's Corpus Christi Area Office at 361-888-3420 or OSHA's toll-free hotline at 800-321-6742 to report workplace accidents, fatalities or situations posing imminent danger to workers.
Under the Occupational Safety and Health Act of 1970, employers are responsible for providing safe and healthful workplaces for their employees. OSHA's role is to assure these conditions for America's working men and women by setting and enforcing standards, and providing training, education and assistance.
http://www.workerscompensation.com/compnewsnetwork/news/osha_mg.html
9/2/2010
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BP To Pay $50.6M To Resolve US Labor Department Litigation
13 August, 2010 01:13:00 compnewsnetwork
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Washington, DC (CompNewsNetwork) - The U.S. Department of Labor's Occupational Safety and Health Administration today announced that BP Products North America Inc. will pay a full penalty of $50.6 million stemming from the 2005 explosion at its Texas City, Texas, refinery that killed 15 workers and injured 170 others. The agreement resolves failure-to-abate citations issued after a 2009 follow-up investigation. In addition to paying the record fine, BP has agreed to take immediate steps to protect those now working at the refinery, allocating a minimum of $500 million to that effort.
"This agreement achieves our goal of protecting workers at the refinery and ensuring that critical safety upgrades are made as quickly as possible," said Secretary of Labor Hilda L. Solis. "The size of the penalty rightly reflects BP's disregard for workplace safety and shows that we will enforce the law so workers can return home safe at the end of their day."
Under the agreement, BP immediately will begin performing safety reviews of the refinery equipment according to set schedules and make permanent corrections. The agreement also identifies many items in need of immediate attention; the company has agreed to address those concerns quickly and to hire independent experts to monitor its efforts. Additionally, the agreement provides an unprecedented level of oversight of BP's safety program including regular meetings with OSHA, frequent site inspections and the submission of quarterly reports for the agency's review. Finally, in a step toward workplace safety corporate-wide, BP agrees to establish a liaison between its North American and London boards of directors and OSHA, which will allow the agency to raise compliance problems at the highest level.
"Safer conditions at this refinery should result from this arrangement, which goes far beyond what can normally be achieved through abatement of problems identified in citations," said Assistant Secretary of Labor for OSHA Dr. David Michaels. "Make no mistake, OSHA will be watching to ensure that BP complies with the agreement and safeguards its workers."
In September 2005, OSHA cited BP for a then-record $21 million as a result of the fatal explosion at its Texas City refinery in March of that year. Upon issuance of the citations, the parties entered into an agreement that required the company to identify and to correct deficiencies. In a follow-up investigation in 2009, OSHA found that although the company made many changes related to safety, it failed to live up to several extremely important terms of that agreement. As a result, OSHA cited BP for "failure to abate" violations with penalties totaling a record $50.6 million that BP now has agreed to pay. *
During that same 2009 investigation at the Texas City refinery, OSHA also identified 439 new willful violations and assessed more than $30 million in penalties. Litigation before the Occupational Safety and Health Review Commission regarding those violations and penalties is ongoing and is not impacted by today's settlement.
To read materials related to today's agreement, visit http://www.osha.gov/dep/bp/bpagreement.html.
Under the Occupational Safety and Health Act of 1970, employers are responsible for providing safe and healthful workplaces for their employees. OSHA's role is to assure these conditions for America's working men and women by setting and enforcing standards, and providing training, education and assistance. For more information, visit http://www.osha.gov.
* EDITOR'S NOTE: In October 2009, OSHA announced $87.4 million in penalties against BP resulting from its inspection of the Texas City plant earlier that year. The $56.7 million penalty was levied for BP's failure to abate the hazards behind the fatal 2005 explosion. In November 2009, U.S. Department of Labor attorneys, in preparation for filing with the Occupational Safety and Health Review Commission, discovered that the department inadvertently had assessed 29 duplicate "failure-to-abate" violations totaling $6.09 million. The penalty was therefore adjusted to $50.6 million, still the highest fine ever issued by OSHA and paid by an employer
http://www.workerscompensation.com/compnewsnetwork/news/bp_50m_dept.html
9/2/2010
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OSHA Assesses $48,500 In Penalties After Finding 24 Serious Violations
12 August, 2010 12:30:00 compnewsnetwork
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Wichita, KS (CompNewsNetwork) - The U.S. Department of Labor's Occupational Safety and Health Administration has cited Hi Plains Feed LLC, of Garden City, Kan., for 24 alleged serious violations of process safety management for hazards found with its anhydrous ammonia system. Proposed penalties total $48,500.
"Our inspection identified numerous hazards that must be addressed," said Charles Adkins, OSHA's regional administrator in Kansas City, Mo. "OSHA's process safety management standard is stringent and comprehensive because a leak could have catastrophic consequences. It is imperative that employers take the necessary steps to eliminate hazards and provide a safe working environment for all of their employees."
OSHA initiated an investigation of Hi Plains Feed in February under its site-specific targeting program. Serious violations cited include a lack of employee participation in and training of system operators; failure to compile process safety information and to conduct process hazard analyses; lack of written operating procedures for the ammonia process; failure to evaluate contractor safety performance and to conduct a pre-startup review after a significant facility modification; as well as a failure to manage changes and mechanical integrity of process equipment, to perform anhydrous ammonia release incident investigations, to have an adequate facility emergency plan and to have compliance certification of the program.
Other serious violations include failure to maintain floors in a clean and dry condition; fall hazards due to an unguarded pit opening and lack of aerial lift training; failure to have at least two suitable gas masks available and accessible; an inadequate respirator program; lack of developed confined space procedures; and grinding wheel, compressed air and electrical shock hazards. OSHA issues serious citations when death or serious physical harm is likely to result from a hazard about which an employer knew or should have known.
Hi Plains Feed has 15 business days from receipt of the citations to comply, request an informal conference with OSHA's area director in Wichita or contest the findings before the independent Occupational Safety and Health Review Commission. The inspection was conducted by OSHA's Wichita Area Office, telephone 316-269-6644. To report workplace accidents, fatalities or situations posing imminent danger to workers, call OSHA's toll-free hotline at 800-321-6742.
Under the Occupational Safety and Health Act of 1970, employers are responsible for providing safe and healthful workplaces for their employees. OSHA's role is to assure these conditions for America's working men and women by setting and enforcing standards, and providing training, education and assistance.
http://www.workerscompensation.com/compnewsnetwork/news/osha_hi_plains.html
9/2/2010
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MOSH Issues Citations Related To Metrorail Worker Fatalities
01 August, 2010 11:54:00 compnewsnetwork
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Baltimore, MD (CompNewsNetwork) - Maryland Occupational Safety and Health (MOSH), a unit of the Department of Labor, Licensing and Regulation (DLLR), today confirmed that it has issued two citations containing a total of four violations, three of which were designated as serious, against the Washington Metropolitan Area Transit Authority (WMATA). The violations are the result of an investigation into a workplace accident resulting in fatal injuries to two Metrorail workers in Rockville, Maryland, in January 2010.
An employer has a general duty to provide a safe and healthful workplace, free of recognized hazards. MOSH’s investigation revealed departures from WMATA’s own safety rules. MOSH worked with the U.S. National Transportation Safety Board, which ordinarily does not investigate workplace accidents but did in this case because of WMATA’s recent history of accidents. MOSH is required by law to complete investigations faster than NTSB, hence the issuance of citations while NTSB’s investigation is ongoing. The NTSB investigates public transportation accidents, decides on a probable cause, and issues safety recommendations.
Ron DeJuliis, Commissioner of Labor and Industry at DLLR, emphasized that MOSH’s investigation focused on the facts and circumstances leading up to this tragic event. MOSH is recommending several abatement steps to WMATA, including developing a reliable communications system throughout Metrorail that has dedicated frequencies and is free of dead zones and interference from outside radio transmissions.
Employers cited by MOSH are required to abate violations within 15 business days unless they choose to contest the citations.
http://www.workerscompensation.com/compnewsnetwork/news/mosh-issues-citations-related-to-metrorail-fatalities.html
9/2/2010
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