How Fast Do Workers Compensation Claims Need to be Reported?
Posted by Debbi Kuhne on Thu, Jun 17, 2010 @ 10:53 AM
Is the timely reporting of workers compensation claims really that important? Absolutely! The smallest claim can turn into a 6 figure nightmare merely by not being reported promptly. A delay of just a few days can alter the outcome of a claim and raise the associated claim dollars through the roof!
Having trouble believing this? Well, here are some reasons:
First and foremost is treatment for the injury. We have seen many "sore shoulders" go unattended only to end up with the employee seeking treatment in the middle of the night at the local Emergency Department. The charges for Emergency Room visits are easily 3 times those of an Occupational Health Clinic, so the medical costs of this incident just tripled. Emergency room providers are great at what they handle - emergencies! But they tend to handle the work related injury by automatically keeping the employee out of work an average of 3-5 days .....another increase to the cost of the claim!
Those same shoulder and soft tissue injuries that went untreated for several days, can eventually become major surgery issues, lost time claims with substantial permanency ratings, and in many cases full and final settlements. By reporting the claim immediately, the employer can and should direct the injured worker to the local occupational health clinic thus hopefully mitigating the overall cost of the claim.
An employer should never delay reporting a claim or directing the injured worker for treatment. Either of these can result in a disgruntled employee who ultimately hires an attorney. Attorney involvement on Workers' Comp claims slows down the progress of the claim resulting in increased dollars.
Insurance carriers have specific time lines in which to make payment to a claimant and meet other standards. If these are missed due to a claim being reported late, the carrier can still incur fines for not meeting required deadlines. These fines become an expense on your Workers' Comp claim!
Hopefully these are reasons enough for you to encourage your employees to report all incidents immediately and for you to report the incident to the carrier the same day. This quick response can help contain your claim dollars as well as keep your experience mod and premium lower that your competitors!
If one of your construction laborers or foremen were injured on the job, does your construction firm already have an established relationship with an Occupational Health Clinic? Did your insurance agent help you with this and provide job descriptions for the clinic to keep on file? Construction Risk Advisors has relationships with many of the occupational health clinics that treat injured Connecticut contractors every day. We can help facilitate this for your company as well as work together to prevent the claim in the first place!