Agent News

Please take note the upcoming rate changes in various states.

Core States

The following core states have a pending rate change. New rates are not yet available in eLink; however, some renewing policies may be viewable in the renewal index. Please refrain from releasing quotes and renewals for these states until rates are updated.

Please be sure to discuss pricing options for all new business and renewals with your business development consultant

Legislative Update is a brief synopsis of relevant legislative activity currently taking place in Accident Fund core and accommodation states. For more details or further documentation on any of these legislative activities, contact your business development consultant.

Federal

A bill titled “The Medicare Secondary Payer and Settlement Agreements Act of 2014,” also known as S 2731, was introduced into the U.S. Senate on July 31. This legislation seeks to streamline the CMS review process, exempting workers’ compensation settlements of $25,000 or less from compliance with the Medicare Secondary Payer. Some feel this threshold may be too high and create significant loss to the Medicare Trust Fund — it’ll likely be a focus of debate. Hopefully this effort will gain more headway than the previous House effort. The timing of the introduction is a concern as there will only be 27 days remaining in session when the Senate returns from break in September.

State

Florida

Florida’s 11th Circuit Court has issued an opinion declaring workers’ compensation as an exclusive remedy unconstitutional. In a case brought before the court claiming the current workers’ compensation law did not provide adequate benefits compared to the tort system, petitioners asked the court to decide if injured workers should have the right to pursue damages outside of the workers’ compensation system, thereby negating the exclusive remedy principle. The basis of their case was that repeated legislative reforms have eroded the benefits initially intended under original workers’ compensation legislation. Florida’s Attorney General may now attempt to intervene for the purpose of filing an appeal. The AG has 30 days with which to file such an appeal with the Third District Court of Appeal.

Iowa

Governor Branstad has wanted Iowa Workers Compensation Commissioner Godfrey out of office for a long time — and will finally have the opportunity to appoint his own Commissioner. The personal defamation lawsuit between Commissioner Godfrey and the Governor will continue, however. The Governor asked the Commissioner to resign from his position in 2010, which he refused to do. The resignation is encouraging news, and although unlikely to impact politics surrounding the Division of Workers Compensation, time will tell. Godfrey has been selected as chief judge of the Employees’ Compensation Appeal Board (ECAB) in Washington D.C. and will commence his new position on Aug. 25, 2014.

South Carolina

South Carolina Attorney General Alan Wilson released the 2013 Insurance Fraud Report this month. The report, which can be found in its entirety by clicking here, indicates that fraud complaints have reached an all-time high in the state. Attorney General Wilson has often stated that insurance fraud is not a victimless crime, and has cost South Carolinians through increased insurance premiums.

Information in this report was sourced from Florida Insurance Council, NAMIC, WorkCompCentral, and NCCI

Disclaimer of Liability

This document is provided for informational purposes only and does not constitute legal advice. This information is subject to change. Every effort is made to provide accurate and complete information in Accident Fund Holding’s Legislative Update. However, Accident Fund Holdings makes no claims, promises or guarantees about the accuracy, completeness, or adequacy of the contents of the Update and expressly disclaims liability for errors and omissions in the contents of this newsletter.

We are proud of our continued financial strength, which is reflected in our recently reaffirmed “A-” (Excellent) rating from A.M. Best. We appreciate the opportunity to work with top-notch agents and look forward to our ongoing partnerships.

Last month, a news bulletin was circulated indicating that the A.M. Best rating of Accident Insurance Company, Inc. (Columbia, SC) had been downgraded. To clarify, Accident Insurance Company has no affiliation with Accident Fund Insurance Company of America or Accident Fund Holdings, Inc. Therefore, this announcement has no impact on our organization.

If you have any questions regarding this information, please contact your business development consultant.

Accident Fund Insurance Company of America has partnered with ReEmployAbility® to offer injured workers a Transition2Work® program that helps return them to the workforce quickly. This program enables injured workers to earn income while becoming re-engaged with the work experience following a period of disability.

Transition2Work reduces medical and indemnity costs for policyholders, which can help lessen the impact to their experience mod. It also helps the injured worker by reducing their time away from work and speeding up their recuperation.

We’d encourage you to share this information with your Accident Fund policyholders. Click here for an informative flyer regarding this program. Interested policyholders should contact their Accident Fund claims examiner at 866-206-5851.

We hope you’re having a successful year and are working hard to build your performance in order to attend next year’s trip to Scotland from May 10-17, 2015. Our “Scottish Escape” will include a stay in the grand Gleneagles Hotel. Established in 1924, this magnificent “French chateau” is set amid rolling hills in the heart of Scotland.

Acclaimed as “the palace in the glens,” the hotel offers the perfect mix of relaxation, leisure and recreation – including exquisite restaurants, a serene spa and three championship golf courses, one of which will be host to the 2014 Ryder Cup. Click below to see short video about Gleneagles beautiful courses.

We also encourage you to visit our trip website at AccidentFundIncentives.com to learn more and watch for the monthly incentive trip updates in your email. We hope to see you in Scotland!