Tag Archive for: Brookville Lawyer

What is Workers’ Compensation?

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Have you been injured on the job? Maybe you twisted your ankle while rushing into the elevator for that meeting with the boss or sprained your wrist while trying to beat that deadline. If you have suffered a work-related injury, you may be entitled to benefits under the Pennsylvania workers’ compensation laws.

The Pennsylvania Workers’ Compensation Act (the “Act”) provides no-fault recourse for workers who suffer injuries in the workplace. The Act ensures that no worker goes without some form of compensation for workplace-related injuries. Therefore, the Act requires all Pennsylvania employers to register with an insurer for workers’ compensation coverage.

Every Pennsylvania worker receives coverage under the Act. So, even if your employer fails to procure workers’ compensation insurance coverage, you can still obtain compensation benefits under the Uninsured Employer Guaranty Fund.

What is workers’ compensation?

Workers’ compensation laws and regulations provide for you in the event of work-related injuries. The Act offers financial, medical, and other related benefits and support to workers who have been injured on the job.

The Act ensures that injured workers can obtain no-fault compensation for work-related injuries. However, this “no-fault” insurance coverage comes with a compromise — your right to sue your employer for the injury.

What are some of the requirements to obtain workers’ compensation?

Before you can receive benefits under the Pennsylvania workers’ compensation law, you must fulfill some requirements:

  1. There must be an employer/employee relationship.
    • While this is usually straightforward, some situations make it difficult to determine whether the relationship is an employment relationship under the law. For instance, an independent contractor does not qualify as an employee. For the purpose of determining whether a person qualifies as an employee, four things are usually considered:
      • The right of the employee to select the employer;
      • The employer’s right to “sack” the employee;
      • The employer’s power to direct the manner of performing the job; and
      • The employer’s power to control the employee.
    • Even if you don’t qualify as an employee under these conditions, you may still be an employee under the definition of a “statutory employer.” For instance, if you work for a sub-contractor hired by a general contractor for a construction-type job, you may be entitled to compensation for work-related injuries. Your employer in this case is a “statutory employer.”
  1. The injury must have occurred under Pennsylvania jurisdiction.
    • If you are hired in Pennsylvania but often work in other states, it won’t matter whether the work injury happens in Pennsylvania or some other jurisdiction.
  1. You must have suffered the injury in the course of employment.
    • Each situation is usually decided on its merits, on a case-by-case basis. You don’t have to be actively working when the injury occurs, though. You could be playing tennis as part of the company’s sports team or attending a party for the company and possibly still be covered. The important requirement is that you must have been furthering the interest of your employer.

What type of workers’ compensation are you entitled to receive?

Under the Act, you generally receive compensation for any disability that occurs as a result of work-related injuries.

Disability, under the Pennsylvania workers’ compensation law, is defined by work loss. A disability may result in total disability, temporary total disability, or temporary partial disability. Total disability occurs when you are completely unable to work because of the work injury.

The Act defines an “injury” to include any condition caused by an accident or activity at work. As such, injuries need not be caused by accidents alone. Injuries caused by repetitive tasks, such as typing with your back bent or injuries caused by abnormal working conditions, would also qualify as an “injury.”

What benefits can you receive under the Pennsylvania workers’ compensation law?

Depending on your injury, you may be entitled to any one or more of the following benefits:

  • Medical benefits: This typically includes the cost of obtaining medical treatment for the injury.
  • Wage benefits: You are generally entitled to compensation of up to two-thirds, sometimes more, of your average weekly wage. These benefits are not taxable.
  • Death benefits: This applies only in the event of death caused by a work-related injury. These benefits would be paid to the family or survivors of the employee.
  • Scarring benefits: This compensation applies in the event of disfigurement caused by a work injury.
  • Specific loss benefits: If loss of limbs is involved, compensation would be payable for that specific loss. This does not mean that the whole limb must be lost though. It would suffice if it is shown that it has been made useless for the job.

How can you obtain workers’ compensation?

The Pennsylvania workers’ compensation law requires workers who suffer any work-related injury to report the injury to their employer within 120 days – this period starts to run from the date of the injury. You should always report a work-related injury to your employer and ensure that an accident report is generated.

Your employer then either accepts or denies the claim. If the claim is denied, you can file a lawsuit to establish your work-related claim by filing a Claim Petition.

While no law says you can’t fight for the claim on your own, it is generally a good idea to get in touch with an experienced workers’ compensation attorney from the moment you get injured. The experienced workers’ compensation lawyers at Zwick Law understand how vital quality representation is to your claim. We are prepared to review your situation and take over the time-consuming and stressful task of negotiating and fighting for you.

Legal Assistance – Contact Zwick Law

For questions relating to a work-related injury, contact Matthew R Zwick, partner of Zwick Law, at (814) 371-6400 or e-mail, to schedule a legal consultation and free case analysis. At Zwick Law, we’re always here for you.

*The use of the Internet, Facebook and/or any other form of social media communication with the firm or any individual member of the firm does not establish an attorney-client relationship.  Time-sensitive information should be directed immediately to the office of Zwick Law at (814) 371-6400.

Auto Insurance: Increase in UIM Policy Limit Considered a ‘Purchase’ Requiring New Stacking Waiver

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Federal Court Ruling on Under Insured Motorist (UIM) Benefits

On February 5, 2018, the federal District Court for the Eastern District of Pennsylvania ruled that increasing Under Insured Motorist (UIM) benefits counts as a new purchase of insurance coverage. Therefore, automobile insurance carriers must obtain a new waiver of stacked benefits under the auto insurance policy.

Stacked Benefits in UIM Coverage

Stacked benefits in UIM coverage mean that a person who buys automobile insurance for more than one vehicle under the same policy can choose to purchase up to double the UIM insurance coverage. The Pennsylvania Motor Vehicle Financial Responsibility Law (MVFRL) requires insurance carriers to offer stacked benefits to every policyholder who buys insurance. If the policyholder decides not to take advantage of the stacked benefits, the insurer must obtain a written waiver of those benefits.

Example of Stacked Benefits

If you insure two cars for $20,000 each, you are eligible for stacking benefits that allow you to claim up to $40,000 on each vehicle. The MVFRL requires the insurer to offer this option to every insured. If the insured declines, the insurer must obtain an express written waiver of the option to purchase stacked benefits.

Court Case: Barnard v Travelers

According to the Pennsylvania Eastern District Court in Barnard v Travelers, No. 17-00290, whenever an insured chooses to increase the amount of coverage under their UIM policy, the insurance carrier must obtain a new written waiver of stacked benefits as required by the MVFRL.

Background of the Case

Michelle Barnard, the Plaintiff, held a UIM policy with The Travelers Home and Marine Insurance Company, the Defendant, since 2007. When she initially secured the policy, she had UIM coverage limits of $50,000 for each of her two vehicles 6. At the time of purchasing the initial insurance coverage, she signed a written waiver of stacked benefits under that policy, waiving her right to stack UIM benefits under her policy. With that, the maximum amount of UIM benefits she could claim under her policy was $50,000.

In May 2009, Ms. Barnard increased her third-party liability coverage limits under the policy from $50,000 to $100,000 on each insured vehicle. This meant she would have been entitled to claim up to $200,000 on each car, as per her allowable stacked benefits. Notably, Ms. Barnard did not sign any written waiver of her stacked benefits upon this increase in coverage.

When Ms. Barnard was injured in a car accident on June 17, 2016, she submitted a UIM claim under her policy with Travelers Insurance. Travelers tendered $100,000 in UIM benefits to Ms. Barnard, assuming she had waived her option to stack her UIM benefits in 2007. Ms. Barnard rejected this tender and sued Travelers, claiming she was entitled to more than was tendered.

Increase in UIM Limit is a “Purchase”

Travelers argued before the Eastern District Court that it had no duty to obtain a new waiver of stacked benefits under the policy, even after Ms. Barnard increased her liability insurance coverage limits in 2009. Travelers claimed the initial 2007 waiver was still in operation and effective, despite the increased coverage purchased by Ms. Barnard in 2009.

The federal district court rejected Travelers’ argument. Judge Gerald McHugh held that the language of the MVFRL requires a renewed waiver of stacked benefits when liability coverage limits are increased or purchased. According to Judge McHugh, because an increase in coverage under an existing policy requires an insured to pay a higher premium, an increase in coverage limits qualifies as a “purchase” as defined by the MVFRL. As a result, the court ruled that Travelers should have obtained a new waiver of UIM stacked benefits in 2009 when Ms. Barnard increased her liability insurance limits. Pursuant to the district court’s ruling, Travelers was responsible for paying Ms. Barnard up to $200,000 in UIM benefits under her policy.

Contact Zwick Law

For questions relating to the MVFRL and Pennsylvania auto insurance coverages, please contact Matthew R. Zwick, partner of Zwick Law, at (814) 371-6400 or by e-mail, to schedule a legal consultation. At Zwick Law, we’re always here for you

*The use of the Internet, Facebook and/or any other form of social media communication with the firm or any individual member of the firm does not establish an attorney-client relationship.  Time-sensitive information should be directed immediately to the office of Zwick Law at (814) 371-6400.