PEO’s conducting business in Missouri should be prepared for potential double digit increases in workers compensation costs.
One reason for the spike is a law enacted this year that is meant to shore up the financially strapped Second Injury Fund, which makes payments to disabled workers who suffer additional job-related injuries. The new law shifts some types of injury claims from the Second Injury Fund to the workers’ compensation system, meaning insurers will bear more costs.
But even without the new law, Missouri’s cost increase would be sizable.That’s partly because Missouri’s insurers have been paying out more work-injury claims of over $500,000, and more that are significantly over that amount.Workers’ compensation claims sometimes take several years to be resolved and paid. For injuries that occurred in 2009, there were 32 claims of over $500,000 each, for a total of $27 million as of two years later, according to NCCI data.
via Workers’ comp costs could rise for Mo. businesses : Business.
