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The Workers’ Compensation Reform bill passed and is effective immediately unless otherwise noted. The new law limits the duration of benefits for “permanent partial disability” cases. Previously, the workers compensation law allowed lifetime payment of cash benefits in such cases but the reform package limits the number of years during which benefits would be available. The new law does however create a “safety net” established for those cases that are determined to involve extreme hardship. The new law also increases the maximum weekly benefit from $400 to $600 over a three year period. In the fourth year, the maximum weekly benefit will be two-thirds of the average weekly wage and the maximum will thereafter be adjusted annually beginning in the fifth year. The Worker’s Compensation Reform package also creates new programs specifically designed to aid injured workers in receiving prompt medical treatment and return to gainful employment and also creates strong anti fraud measures. The new law eliminates the Second Injury Fund. The Reform package directs the State Superintendent of Insurance to pursue administrative reforms such as designing an expedited hearing process, new treatment guidelines, new return to work initiatives, and training for administrative law judges who hear workers compensation cases.

 

Copyright © 2008 Hogan, Sarzynski, Lynch, Surowka, & DeWind, LLC
Last modified: 01/11/08