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Phil Melin, executive director of Illinois Citizens Against
Lawsuit Abuse, pointed to two issues with the legislation.
“It adds a new surcharge on successful, profitable workers'
compensation insurance companies, and then it adds new
restrictions on potential liability on employers,” Melin told
The Center Square.
Melin said the surcharge would be $7 million in total and would
increase 3.5% each year.
Melin said more profitable companies would pay a higher portion
of the sum.
“So profitability is not like, oh, you’re screwing the workers.
It means that you're running a good business,” Melin said.
Melin said charging a profit penalty could disincentivize
companies from doing business in Illinois.
Melin said the state became more competitive after then-Gov. Pat
Quinn signed successful workers’ comp reform in 2011.
“And so, [House Bill] 5228, we're a little concerned that it's
going to reverse some of those gains that made Illinois a more
competitive place to do business,” Melin said.
Melin said the new law disincentivizes one of the ways for
employers to question challenge expensive or unnecessary
treatments.
“It creates more procedural hurdles for the employers to
challenge questionable determinations by the workers,” Melin
said.
Illinois AFL-CIO and the Illinois Trial Lawyers Association
filed witness slips supporting HB 5228.
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