In Massachusetts, the Workers’ Compensation Trust Fund (WCTF) is a statutory entity that reimburses insurers for some workers’ compensation benefits paid pursuant to Massachusetts’ Workers’ Compensation law. This includes payments made to previously injured employees who suffer further work-related injuries pursuant to demands that employers pay employees who sustain injuries while working benefits for their harm. Only certain employers are eligible for reimbursement, though, as discussed in a recent Massachusetts ruling. If you were injured while on the job, it is important to understand your rights, and you should meet with a Massachusetts Workers’ Compensation lawyer promptly.
Factual History and Procedural Background
It is reported that the revenues for the WCTF come from assessments of employers collected by their insurers based on premiums. However, some employers can opt out of these assessments by self-insuring and filing a notice of nonparticipation, which makes them ineligible for reimbursement from the WCTF.
It is alleged that the plaintiff, an insurer, had stopped issuing new policies in Massachusetts but continued to service claims under policies it previously issued during a “run-off period.” The insurer requested second-injury reimbursements from the WCTF, which were initially approved. However, following a 2014 decision by the reviewing board of the Department of Industrial Accidents, which denied reimbursement to another insurer in a similar run-off period, the WCTF began denying the plaintiff’s requests. The reviewing board upheld the denial, leading to the plaintiff’s appeal. Continue reading →