Workers’ Comp Insurance
Wednesday, September 8, 2010

With the Florida Supreme Court’s recent ruling in the case of Emma Murray vs. Mariner Health Inc., legislative action is necessary to ensure that workers’ comp insurance rates don’t increase.  The OIR has already approved a 6.4 percent rate increase, and the NCCI estimates an 18.6 percent increase in rates over the next two years.

What employer in this economy can afford an increase in workers’ comp insurance rates?  None. Without a legislative fix, Florida will suffer greater job losses as employers will be forced to make more staff cuts to offset the rise in workers’ comp insurance.

May 29, 2009 – Gov. Crist signed HB 903 into law. This legislation will help ensure that workers’ compensation rates won’t increase, and will keep premiums affordable for Florida businesses. The bill was championed by Rep. Anitere Florida (R-Miami) and Sen. Garrett Richter (R-Naples).

May 8, 2009 – HB 903 was presented to Gov. Charlie Crist for his action. Prior to receiving the bill, 50 major business organizations, including the Florida Home Builders Association, pledged their support of measure in a letter to the Governor.

Week of April 27 – Lawmakers gave final approval to meaningful legislation that was necessary because of a recent Florida Supreme Court ruling. HB 903 by Rep. Anitere Flores, R-Miami, saw final passage in the Senate on a 22-16 vote. The legislation was strongly opposed by trial lawyers over the issue of attorney fees. Without this legislation, workers’ comp rates were set to rise 6.4 percent this year and 18.6 percent over the next two years. A special thanks to Rep. Flores and to Sen. Garrett Richter, R-Naples, for championing this legislation to victory.

Week of April 13 – SB 2072 passed out of the Senate Judiciary Committee after harmful amendments were added onto it. FHBA, along with other business organizations, will work to improve the bill during its next step.

Week of March 30 – A measure designed to reinstate a limit on what plaintiffs lawyers can earn in workers’ compensation cases passed out of the House of Representatives last week. HB 903 by Rep. Flores, R-Miami, restores a ceiling on plaintiff attorney fees in workers’ comp cases, reversing the Murray v. Mariner Florida Supreme Court decision last year that knocked a fee schedule off the books.

Week of March 23 – A measure designed to reinstate a limit on what plaintiffs lawyers can earn in workers’ compensation cases was heard by the full House of Representatives. The bill restores a ceiling on plaintiff attorney fees in workers’ comp cases, reversing the Murray v. Mariner Florida Supreme Court decision last year that knocked a fee schedule off the books. HB 903 by Rep. Flores, R-Miami, is strongly opposed by trial lawyers and during the House floor discussion, was heavily questioned. It is strongly supported by businesses including the Florida Home Builders Association. The bill is now set for a full House vote which is expected the week of March 30. Before the rate cap was put in place in 2003, Florida had one of the highest workers’ comp rates in the country. Since then, rates have dropped considerably – down about 60 percent. Without this legislative fix, Florida will suffer greater job losses as employers will be forced to make more staff cuts to offset the rise in worker’s comp rates. The Senate companion, SB 2072, passed its first committee, Banking and Insurance.

Week of March 16 – A measure that removes from the law a requirement for “reasonable” lawyers fees in workers compensation cases, restoring a fee ceiling that was thrown out by the Supreme Court last year, is headed to the House floor. The House General Government Council approved the bill on a 14-4 vote last week. HB 903 by Rep. Anitere Flores, R-Miami, heads next to the floor, where it could come up as early as this week. The measure aims to restore the lawyer fee schedule the Supreme Court invalidated in Murray v. Mariner in October. Fixing workers’ comp insurance is one of the Florida Home Builders Association 2009 Top Legislative Priorities. Without a legislative fix, Florida will suffer greater job losses as employers will be forced to make more staff cuts to offset the rise in workers’ comp insurance. Florida’s construction industry has already lost more than 165,000 employees during the economic downturn. Adding to that already startling number would have a further devastating impact on Florida’s construction industry and the state’s budget.

Week of March 9 – The Florida House of Representative’s Insurance, Business and Financial Affairs Committee overwhelmingly approved a bill aimed at reversing a Supreme Court decision that removed a cap on lawyer fees in workers’ compensation cases. This issue is one of the Florida Home Builders Association’s top 2009 Legislative Priorities. FHBA, along with Florida’s business community, believe that restoring the lawyer fee cap is the only way to prevent rates from increasing. The Florida trial bar argues that limiting fees will deprive injured workers access to the courts. The House committee voted favorably for HB 903 by Rep. Anitere Flores (R-Miami) after taking testimony. David Hart, FHBA Vice President of Legislative and Governmental Affairs, testified before committee members and told the panel that even the six percent increase that’s likely without a fix would mean builders will have to lay off more workers from an industry that has already seen more than 165,000 jobs disappear in two years. HB 903 has another committee stop before making its way to the House General Government Policy Council. Then it will be in proper position for the entire House of Representatives to consider. The Senate companion bill is SB 2072 by Sen. Garrett Richter (R-Naples). It has not yet been heard.