Connecticut Senate Bill SB00102

Connecticut 2016 Regular Session

• Introduced: 2/16/16
• Refer: 2/16/16

Caption

An Act Concerning Workers' Compensation Awards And Attorney Fees.

Impact

The bill has significant implications for workers' compensation claimants as it requires health insurers to transfer twenty percent of any amount they recover from the employer to the claimant if the claim is resolved in favor of the employee. This provision is designed to ensure that employees benefit from the health insurance payments made on their behalf, maximizing their compensation when injuries are sustained at work. Moreover, it aims to prevent health insurers from exploiting the legal process to avoid covering their liabilities.

Summary

SB00102 aims to amend the regulations surrounding workers' compensation awards and attorney fees in the state. The core of the bill emphasizes that when an employer contests the compensability of an employee's claim, they are restricted from using payments made by health insurers as a defense. This legislative change seeks to strengthen the rights of employees seeking workers' compensation benefits and ensures that health insurers cannot delay or deny essential benefits by shifting responsibility onto employers.

Contention

Notably, the bill may create contention between employers and health insurers, as the latter might view this legislation as an infringement on their financial interests. Employers may resist the change due to the increased likelihood of facing claims without the ability to use prior health insurance payments as a defense. Furthermore, the legal framework may provoke discussions on the broader implications for insurance policies relating to workplace injuries and obligations, potentially leading to an increase in litigation as insurers contest the new conditions created by SB00102.