Electronic Payment Rule Goes Into Effect

Michigan Workers Compensation Agency (WCA) allows employers and insurance companies to pay wage loss benefits electronically.

Many of our clients receive weekly checks under workers compensation. These benefits are a lifeline for individuals who cannot work and need to support their family.

Sometimes these weekly checks are late or missing. This can be a disaster and cause real financial hardship for the injured worker.

The days of limping to the mailbox could be gone forever. The WCA has now instituted a rule allowing the payment of lost wages electronically.

Immediate Effect

The rule, which is effective immediately, allows electronic transfers or direct deposits to a financial institution account or debit card. This will hopefully eliminate the problem of missing or late checks.

Injured workers will still be able to receive payments by check. This is important for those individuals who prefer a more traditional way of collecting their benefits.

The injured worker must also consent in writing to receiving payments electronically. Accrued benefits must still be paid by check and mailed to the attorney representing the individual.

Red Flags

Missing or late checks are a red flag that benefits will soon be disputed. The switch to electronic payments will make this even clearer.

Watch out for adjusters who stop electronic payments suddenly or who insist on an independent medical examination (IME) before payments will resume. This is usually a sign that the insurance company is looking to dispute the payment of benefits.

Call (855) 221-2667 to speak with one of our workers compensation attorneys in Michigan. We are committed to protecting the legal rights of injured workers.

Alex Berman is the founder of Michigan Workers Comp Lawyers. He’s 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.

Related information:

Video: 5 red flags in a Michigan workmans compensation case

Photo courtesy of Creative Commons, by MoneyBlogNewz.

Injured On The Job: A Guide to Michigan Workers Compensation Law Injured On
The Job
A Guide to Michigan Workers Compensation Law Free Book
Free Consultation
  • This field is for validation purposes and should be left unchanged.