The idea may not be attractive to many employers who can afford to secure lower workers compensation rates from private insurers.
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Chicago, Illinois (PRWEB) October 23, 2012
October 21, 2012 -- Insurance Navy described the Illinois Senate Bill 3825 (SB3825) which was filed earlier this year at the Secretary by Sen. Kwame Raoul concerning the development of a workers compensation insurance fund as 'progressive'. The Bill calls for the creation of a workers' compensation insurance fund law for the purpose of insuring Illinois employers against liability for compensation under the Illinois Workers' Compensation Act. The Bill suggests that the Fund be managed and operated by the Illinois Department of Insurance without liability on the part of the State. The Bill was re-referred to Assignment on 4/26/2012.
Ed Sneneh of InsuranceNavy said that "the idea of having the State administering the work related injuries of the workers in the State of Illinois is progressive. Adopting this idea is not much different than unemployment insurance." Workers compensation is administered by governmental bodies in most countries of the World. "There are few States, including California and New York that implement State administered workers compensation funds," said Mr. Snenneh.
Many experts believe that having workers compensation under the administration of the State may eventually lead to higher cost of providing the workers compensation insurance services, but it will ensure better and higher quality coverage for the working individuals. The idea may not be attractive to many employers who can afford to secure lower workers compensation rates from private insurers. "According to a study published in August 2012 by the National Academy of Social Insurance, workers’ comp rates continue fall mainly because of the decrease in medical benefits for injured workers," Snenneh said. Raising employment cost is one of the factors for higher prices of services and goods.
About Insurance Navy Brokers
Insurance Navy Brokers (INB) is an independent brokerage house that offers personal and commercial insurance services to individuals and businesses in the States of Indiana, Illinois, and Wisconsin. The agency is licensed to transact all types of property, casualty, life and health insurance. INB recruits several licensed agents to market its services through several offices in the Chicago and Northwest Indiana areas.
Address: 5116 West Cermak Road, Cicero, IL 60804
Phone: (708) 863-9000