workers’ compensation News

States Going After Employers Who Misclassify Workers as Independent Contractors

When construction slowed during the recession, some companies hired workers and wrongly designated them as independent contractors to avoid paying insurance, taxes, fair wages and overtime. Danny Odom, chief operating officer of Odom Construction Systems, Inc. in Knoxville, Tennessee, says …

Multimillion Dollar Workers’ Compensation Fraud Probe Leads to West Virginia Bank

A federal investigation into a multi-million-dollar workers’ compensation scheme extended to the Bank of Mingo in southern West Virginia, where authorities seized computer hard drives and documents. FBI Special Agent James Lafferty said in a sworn statement he had “probable …

Burnett Named Chief of Oklahoma Workers’ Comp Fraud Unit

Oklahoma Attorney General Scott Pruitt has named longtime prosecutor George Burnett as the new chief of the Workers’ Compensation, Insurance, and Social Security Fraud Unit. The appointment was announced Oct. 14. Burnett served as an assistant attorney general in the …

Interesting but Quiet Year for California Lawmakers on Workers’ Comp

After the behemoth workers’ compensation reform law passed in 2012, state lawmakers this year enacted only a handful of measures that may affect or relate to workers’ compensation. Bills signed by Gov. Jerry Brown included laws on pharmaceutical compounding, preventing …

AIG Sued by Small Businesses Over Workers’ Compensation Reporting

Class action lawsuits in federal courts on both coasts have been initiated on behalf of small businesses in California, New York and New Jersey against American International Group (AIG) over workers’ compensation reporting. Plaintiff attorneys say the case could involve …

New California Law Limits Workers’ Comp For Pro Athletes

Professional athletes who spend most of their careers with teams in other states will be prohibited from filing workers’ compensation claims in California, under a bill signed by Gov. Jerry Brown. AB1309 will close a legal loophole that has let …

New York Second in Nation for Questionable Workers’ Compensation Claims

New York State is second in the nation, only behind California, for questionable workers’ compensation insurance claims. The Empire State jumped to the second place in 2012 from fifth in 2011, the New York Insurance Association noted. “Workers compensation insurance …

Medical Group Earns Nearly $1M Texas Mutual Dividend

Texas Mutual Insurance Company announced the Texas Medical Group (TMG) has earned a $972,604 workers’ compensation dividend. The dividend is based largely on the group’s collective workplace safety record. Qualifying TMG members have shared in $4.6 million in Texas Mutual …

2 from Kentucky, 1 from West Virginia Sentenced for Workers’ Comp Fraud

A West Virginia man and two Kentucky residents have been sentenced for their roles in a workers’ compensation scheme. The Charleston Gazette reported that Jerome Edward Russell of Williamson, Frelin R. Workman of Belfry, Ky. and his son, Randy Workman …

All Risks Launches Workers Comp Product for Agriculture Risks

The recently formed Workers’ Compensation Specialty division of All Risks, Ltd., has launched its second specialty class, WC for agriculture exposures. This unit will offer workers’ compensation through two carriers for a variety of agriculture risks, focusing on cotton gin …