A question that often comes up is whether or not workers compensation is abused. Whilst most workers will not go out of there way to injure themselves, it is often thought that when they do have an injury the symptoms and recovery times are exaggerated.
I often wonder would the number of cases decrease if workers had to pay for their own insurance? The answer is possibly. While businesses are getting hit hard with claims against their worker compensation insurance, the entire scenario is becoming more complex. Not only are there employees who are abusing the system, but some employers have also stopped paying their premiums and causing a rise for other honest employers.
The total amount associated with workers compensation fraud is in the tens of millions of each year. This includes time that is paid off for work, medical bills, and over exaggerated injuries. In some cases an established injury or one that is suffered at home is brought up and then malingering causes the extension of the payments to go to the maximum time frame possible.
While it is believed that this is a victimless crime, it actually impacts a lot of people. Higher premiums take away from expansion and profits of employers. These higher prices also take away from pay increases and hiring additional staff. That means a loss of jobs. Workers are then endangered by the antics of those who force the injury and those who are left behind are forced to pick up the slack.
If workers were required to pay their own workers compensation insurance, it would likely cause a decrease in injuries and the amount of time they take off. If an employee knows that their claims and antics are impacting how much they have to pay, especially if it continues to be taken out of their compensation payments, they are less likely to prolong and to create fake ailments. While some fraud might still happen, the occurrence could dramatically decrease. Especially if there are cases where individual workers compensation insurance premiums increased after so many claims being filed by a single individual, as they would stand out as a potential liability.