Paid and incurred losses rise

California dealing with more increases

  • California’s public self-insured workforce increased less than 1% in the 12 months ending June 30.
  • However, the total number of public self-insured work injuries and illness claims reported to the state jumped 35%, as the medical-only claim count rose 29.9% while the number of indemnity claims soared by 38.1%.
  • With claim volume up steeply, total workers’ compensation paid losses for cities, counties, and other public agencies in California increased by 31.5% to a record $585 million in the fiscal year 2021-2022.
  • Total incurred losses (paid plus reserves) rose 19.3% to nearly $1.68 billion.

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An investigation leads to a proposed $304,556 fine

  • A federal investigation into the deaths of two workers buried under a pile of shifting coal at a Pueblo, Colorado, industrial loading facility found their employer failed to follow required federal standards.
  • As the three employees of Savage Services Corp. climbed onto the coal pile to determine if the feeder below was receiving coal, the pile shifted and buried two workers, while a third employee escaped without injury.
  • Savage Services faces $304,556 in proposed penalties for one serious violation and two willful violations for failing to implement safe work practices and for not training workers.
  • In a similar incident in 2020, a coal pile collapsed onto a bulldozer at a company facility in New Mexico.

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Oregon sees rise in workers’ comp cases

  • Oregon’s Workers’ Compensation Division received notification of 44 compensable fatalities in 2021, 11 more workplace fatal accidents than in 2020.
  • The number of compensable fatalities in 2021 is the highest since 2008 when 46 notifications were received for workers who perished on the job.
  • Of the 44 compensable fatalities in 2021, eight were the result of infection with the COVID-19 virus.
  •  COVID infection accounted for 80 percent of all compensable fatalities resulting from exposure to harmful substances, and 50 percent of compensable fatalities with people, plants, animals, or minerals.

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Walmart agrees to pay fines for workers’ comp infractions

  • Walmart agreed to pay $500,000 after allegedly failing to follow prescription pricing procedures that are in place to keep costs down and prevent overcharges in the workers’ compensation insurance system
  • The pricing procedures are required by Massachusetts regulations to ensure that prescription costs will be reviewed against certain regulatory benchmarks.
  • Walmart allegedly failed to follow those regulations when applying prices for various injured worker prescriptions at Walmart pharmacy locations in Massachusetts.
  • Walmart denies any wrongdoing.

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