Premiums for workers comp to be much lower in 2012
Michigan disability lawyer explains how premiums for workers comp insurance are decreasing and why certain groups want to hide this fact.
Special interest groups are proposing major substantive changes to the workers comp law. These changes make it much harder to qualify for benefits and take away your right to choose your own doctor.
Proponents of these changes would have you believe that workers comp costs are too high and that we must improve the business climate in Michigan. The real reason for these changes is so certain groups can make more money by paying less on workers comp claims.
These special interest groups want to cut workers comp benefits and are betting that you will believe the spin. They never let the facts get in the way of their bad policy.
Setting the record straight
WCRI, a nonpartisan and not-for-profit research organization, has concluded that Michigan’s workers comp system offered a better value proposition for both employers and injured workers both in terms of medical costs per claim and worker outcomes.
WCRI found that compared to states Michigan often competes with for business, employers paid much less for medical care. The states studied in the report include Illinois, Indiana, Iowa, Minnesota, Pennsylvania, Tennessee, and Wisconsin.
It was also recently announced by the Michigan Department of Licensing and Regulatory Affairs that the pure premium advisory rates for workers comp insurance will drop by an average of 7.4 percent in 2012. The decrease in the pure premium rate signifies a lower trend for workers comp insurance rates in Michigan. The pure premium rate is the annual yardstick against which private insurance carriers can compare their rate structure for workers comp coverage for the coming year. The pure premium rate is developed by examining loss data and any changes in the law.
How these changes can affect you
Michigan adopted its first workers comp law in 1912. The law was a compromise between employee and employer interests. Employees gave up the right to sue in civil court in exchange for what are essentially no-fault benefits.
You are entitled to 80% of your wages if you cannot work and medical care for your injury. You cannot get pain and suffering or any other damages.
Michigan’s workers comp law is a delicate balance between employees and employers. It has worked for nearly 100 years and has served as a model for several other states. The proposed changes would undermine this balance and put the entire system in jeopardy.
For example, the inclusion of “partial disability” means that your wage loss benefits can be cut based upon a hypothetical job that does not exist. You may also be told that you don’t qualify for full benefits because you can work part-time as a cashier at McDonalds.
The proposed changes will also take away your right to choose your own doctor. Your employer will be able to dictate your medical care and you will be at the mercy of whoever they select. This is clearly a conflict of interest and a bad idea.
Take action now
Special interest groups have been chomping at the bit to change the workers comp law ever since the Republicans took control in Lansing.
You must contact your state representatives and take a stand for your workers comp rights. Your representatives want to hear from you about these issues.
Use the links below to find your state representatives and tell them to protect your workers comp rights. Doing nothing is not an option when your life could be on the line.
– Alex Berman is the founder of Michigan Workers Comp Lawyers. Hes been representing injured and disabled workers exclusively for more than 35 years. Alex has helped countless people obtain workers compensation benefits and never charges a fee to evaluate a case.