Tag Archives: workers compensation fraud

Kane County workers comp attorneysThe media often portrays workers’ compensation fraud as one-sided. The most common scenario reported is that of the employee who commits fraud by faking an injury to get benefits that they do not deserve. The reality is that less than 2 percent of workers’ compensation claims are fraudulent, with some states reporting that fraud is only evident in one-sixth of a percent of cases according to recent studies. Unfortunately, the same cannot be said for employer fraud. If you have been denied workers’ compensation, contact an experienced Illinois workers’ compensation attorney today for assistance.

The Root of the Workers’ Compensation Fraud Problem

It makes sense that the blame has been put on employees because they, as a group, do not have the resources to refute these false allegations. Employee fraud has been the focus of state workers’ compensation reforms that take away benefits for injured workers, making it easier for employers and insurance companies to deny benefits and increase their profit margins. Fraud, however, is more prevalent at the employer level than at the employee level. In fact, studies have shown that over 13 percent of employers contacted did not even have the required workers’ compensation insurance. Furthermore, a study performed by Texas Mutual Insurance Company discovered that employer fraud costs insurance companies nearly 18 times more than employee fraud. Fraud committed by the insurance companies themselves is also generally a larger problem than employee workers’ compensation fraud as well.

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