NY State Lawmakers Call for Probe on WCB-Insurer Collusion
- A group of New York State Assemblymembers are calling for a state investigation into possible collusion between New York’s Workers’ Compensation Board and private insurance companies the politicians allege have compromised the board’s independence to review injured workers’ claims.
- A second group of lawmakers Wednesday sent a letter accusing the Tradesman Program Managers LLC, which assemblymembers believe to have improper influence of the board, of performing the duties of a primary insurance carrier without a state license.
- The assemblymembers sent a letter to Gov. Kathy Hochul and state Attorney General Letitia James’ offices last week, alleging a concerted effort between board leaders and insurers to reduce claims, undermining workers’ rights when they’re injured on the job.
- Assemblymembers are calling for board director Stephen Scotti to resign immediately to ensure an investigation would be independent.
- The state Attorney General’s office would be forced to hire outside counsel to investigate the Workers’ Compensation Board, which the office represents during litigation.
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Washington State Looks to Raise Rates to Cover Costs
- Washington State officials are proposing a 2026 increase in workers’ compensation insurance rates for employers and employees to help cover projected costs for wage replacement, medical care and disability benefits.
- According to local media, the proposed 4.9% increase in the average hourly rate for workers’ compensation insurance would add $1.37 a week per full-time employee on average to those premiums.
- Employers would pay 75% of that increase while workers pay the remaining 25%.
- “We’re always trying to balance keeping up with the rising costs of providing wage replacement and medical care benefits to injured workers, while keeping rates steady and predictable,” said Joel Sacks, state Department of Labor & Industries director, in a statement.
- L&I will conduct three public hearings on the rate increase before making a final decision, with the final hearing at 10 a.m. Oct. 30 being virtual only.
- Final rates will be adopted on Nov. 26 and go into effect Jan. 1, 2026.
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