The North Carolina agency that rules on compensation for workplace injuries does a poor job of making sure companies carry insurance as they are required to do under law, according to the state’s government watchdog.
The North Carolina Industrial Commission has not done enough to track companies that fail to cover their workers, which could leave the employees without payment for lost work, suffering injuries that don’t heal, and stuck with costly medical bills, according to State Auditor Beth Wood’s office.
“Employees of a non-compliant business are not likely to learn that they do not have workers’ compensation coverage until after the employee suffers loss and files a claim. The commission’s current policies and procedures only identify non-compliant businesses after an employee is injured or dies,” the report said.
More than 11,000 businesses either cancelled coverage or let it lapse during the year that ended in June, the report said. As many as 30,000 employers required to carry insurance don’t, The News & Observer of Raleigh reported last year.
The commission also has been lax in punishing companies that fail to follow the law and has collected only a fraction of the assessed penalties, the report said.
The commission said that in many cases, enforcement of the penalties has been put on hold pending the employer’s agreement to pay the injured worker his lost wage benefits and medical bills. The commission said it’s working to spot uninsured companies sooner and improve penalty collection.
Was this article valuable?
Here are more articles you may enjoy.
FM Global Rebrands As FM 
Deere Retreats From Diversity Measures After Online Attacks 
Study Urges Rethinking of Disaster Management in Era of Compounding Events 
Surplus Lines Commercial Growth; Fla. Litigation Costs Reach New High in 2023 From This Issue
