FBI investigating country-wide workers compensation fraud scheme

Workers compensation fraud

The Bureau is looking into an alleged nationwide scam involving insurance and pensions. The F.B.I. has launched an investigation into an alleged nationwide workers compensation fraud, health insurance scam and pension plan scheme. The scheme involves policies and plans sold by American Labor Alliance or its U.S. subsidiaries. The F.B.I. has requested that any businesses that have purchased policies or plans from American Labor Alliance (A.L.A.) or any of its subsidiaries across the country should contact their state insurance regulator. The state regulator will be able to tell if health…

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Vermont workers compensation insurance rates are on their way down

Vermont workers compensation - Insurance rates going down - Down arrows

Governor Phil Scott announced that the downward trend would continue for these insurance costs. Vermont workers compensation insurance rates are falling for the third consecutive time, announced Governor Phil Scott. The state Department of Financial Regulation approved the rate decrease, which will become effective as of April 1, 2019. Since Governor Scott took office, there have been three straight decreases in the cost of the coverage. The latest Vermont workers compensation rate decrease will represent a total savings of $10.5 million for employers in the state. That said, when that…

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US workers compensation industry will continue to be profitable this year

US workers compensation - safety shoes - screw - risk of accident

Fitch data showed that the market remained strong throughout 2017 with positive 2018 performance. New Fitch Ratings data shows that the US workers compensation industry did well last year and may continue to see underwriting profits this year. The data from last year until now shows a trend of strong performance, though that could change. Last year’s strong US workers compensation performance represented the third consecutive year following that trend. The industry statutory combined ratio was around 92 percent, said Fitch Ratings data. The recent Fitch Ratings report showed that…

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Nine Californian Restaurants receive workers compensation fines

Workers Compensation Fines - Gavel -law

Restaurants in one state county received over $200,000 in admin fines for failing to cover employees. Nine restaurants in California are now facing substantial workers compensation fines for failing to adequately cover their employees. The fines were the result of a joint enforcement strike force investigation in Contra Costa County. The strike force issued over $200,000 in total administrative workers compensation fines. The fines were issued to the Contra Costa County restaurants for failing to cover their employees according to state laws. The investigators were from the California Department of…

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Louisiana workers compensation sees few claims but high costs

Louisiana workers compensation - Worker - Construction

Employees in the state are less likely to be injured than in any other place across the country. The Louisiana workers compensation program functions in a curious way. Despite the fact that employees in the state are less likely to be injured than those in any other state, the coverage still comes with high costs. The costs of workers compensation insurance in the state have been steadily falling for years. Comparing the cost of Louisiana workers compensation clearly shows that the actual costs are dropping. In fact, this has been…

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Berkshire-owned workers compensation insurance scam case reaches settlement

workers compensation insurance

Applied Underwriters, a Berkshire Hathaway owned firm, was ordered to cease bait-and-switch marketing. Applied Underwriters, an insurer owned by Warren Buffett’s Berkshire Hathaway, has agreed to a workers compensation insurance case settlement. The agreement involves providing Californian consumers with full disclosure about the product. The insurance company’s goal is to start selling plans again following a state review of alleged abuses. A major component of the settlement requires Applied Underwriters “to stop the bait-and-switch marketing tactics.” Many employers registered complaints from having been sold workers compensation insurance through bait-and-switch tactics.…

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Pennsylvania workers compensation rates to be reduced

workers compensation insurance

The state will be slashing back these insurance rates by 5.99 percent, beginning with the start of April. Pennsylvania has announced that it will be reducing its rates for workers compensation by 5.99 percent, and that this new level will become effective as of April 1, in a decision that is hoped to provide businesses with a considerable savings. In fact, the Wolf administration has said that the savings to businesses has been estimated at $140 million. The governor of Pennsylvania, Tom Wolf, explained that “These rate reductions will go…

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