THE OLD AND THE ILLEGAL
California has been the leader in blaming the victims for work related injuries. In addition, regulatory enforcement was softened up to allow unsafe employers continue hazardous practices. The net effect of this expensive propaganda was that benefits for injuried workers were reduced and denied. Most importantly profits for Insurance Companies soared in California. The work place was made more profitable for companies and more hazardous for workers. (See previous posts, “Blood Money” and “Civil Justice for Injured Workers“.
The rest of the country is signing up during these economic times. Insurance companies called foul when an illegal alien was allowed to obtain Worker’s Compensation benefits from a work injury. Several states have initiated legislation to ban WC Benefits to illegals. But what is really behind the hue and cry? The insurance companies and employers gain by denying these benefits. The illegal worked, was paid, and premiums earned. The windfall goes to the insurance company who does not have to pay for a claim that they collected a premium on. The unintended consequence is that employers will hire illegals knowing they will not have to pay WC Benefits. Whatever other penalties are issued, the employer should be fined for hiring illegals.
The benefits of hiring older workers have long been known. Older workers are calm, mature, experienced, motivated, loyal, dependable, adaptable, train quicker, better with the public, etc., etc., and etc. However, insurance companies writing Workers’ Compensation found a new ‘scape goat’ for their own inefficiency to expand profits: they now allege that the Older Worker is increasing costs to the work place. Older workers fall more, take more medications, and go regularly to the doctor. A whole new category of blame has been created “Hidden Costs of Older Workers.”
The fraudulent claims card has been played and worn out. The insurance companies are responsible for fraud but use it to obfuscate and point blame away from themselves. Insurance companies now are picking out certain groups to blame them for the high price of workers’ compensation insurance: the old and the illegal.
It is really about profits. Follow the money trail.