Is Everything Bigger In Texas? Not Necessarily Comp Payouts

Lone Star 07-24-2013Has Workers’ Compensation reform gone too far in the Lone Star State? Some critics think so, in the wake of certain moves made by the state government this past decade.

Although he outlines many, the main reason Terry Carter gives in his article is that Texas was concerned that too many lawyers were involved in the workers compensation process. This drove up costs for the businesses and insurers, but after enacting a restricted fee structure for claimant-side lawyers most of them left workers’ compensation behind.

Critics believe this action has led to the opposite problem: a system that “has become has become so hostile, so skewed toward delay and denial that lawyers, physicians and even legitimate claimants have been driven away.”

Also, besides New Jersey, Texas is the only state where participation in a workers’ comp system is not mandatory for employers above a certain size.

But insurance providers point out that plenty of cases really are worthy of denial. Overtreatment and overutilization of medical services is still a problem in Texas. Also, they point out that the public is only made aware when cases are denied. “Only the disapproved cases are news to us,” says lawyer Matthew Lewis.

Does anyone have any experience working in or with Texas that has any opinions on this article? Or a supporting / dissenting view to share?

Source: APA Journal (It’s a long, but definitely interesting, read.)

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