Stipulation Effective Upon Execution - Penalties Accrue For Late Payment Even When WCJ Approval is Pending

G. Varkey v. WCAB (Cardone Industries & Fireman Fund)is a case rather limited to its facts, but the Commonwealth Court did reverse the Board and find a penalty and attorney's fees were due on late payment under a stipulation, even though the WCJ had not issued his decision approving the stipulation when the late payment was made.

Atlantic Mutual Insurance Company Rating Lowered to BBB

Business wire reports Atlantic Mutual Insurance Company's Standard and Poor's rating dropped to BBB from BBB+. If the Company is not able to reduce its reliance on financial reinsurance, the ratings could be lowered further, according to the article.

Rockwood Moves to Suspend Benefits of Quecreek Miners

It was reported in the Johnstown Tribune-Democrat that Rockwood Casualty Insurance Co. has filed Petitions for Modification or Suspension of the Quecreek Miners workers' compensation benefits based on the $150,000.00 each received from The Walt Disney Co. for movie and book rights.

WCRI Publishes New Comparative Study of 12 States Including Pennsylvania

The Workers' Compensation Research Institute released its CompScope™ Benchmarks: Multistate Comparisons, 1994-2000 comparing 12 states' workers' compensation programs, including Pennsylvania's. The only information contained in the abstract is that benefit delivery expenses remain at a double digit level (between 12 and 15 per cent) and continue to increase at a double-digit rate. An Insurance Journal Article reports Illinois apparently performed worst in the survey.

Settling Cases in Luzerne County

In a Hazleton Times-Leader article Luzerne County's "close-out program' is reviewed. The County has earmarked 4.9 million of bond money to settle cases. The County is using a consultant, Case-Con Capital, Inc., Michael Judge. The article discusses Mr. Judge's fees and results.

Different WCJ Can Reweigh Credibility When Board Remands On Standard of Proof Grounds

City of Philadelphia v. WCAB (Rilling) is a case involving the Section 301(e) presumption that a firefighter's lung disease resulted from his employment. The WCJ didn't apply the presumption in the first instance, and the Employer won. After the Board remanded for application of the presumption, a different WCJ awarded the claim. The Commonwealth Court stated it was appropriate for the WCJ on remand to arrive at the WCJ's own credibility determinations, especially since they are so closely tied to applying the proper standard of proof.

Discharged Claimant Will Be Reinstated Unless Cause For Termination Rises To Claimant Bad Faith

In A. Cryder v. WCAB (National City) the Claimant was discharged for failing to meet production goals. The Commonwealth Court reversed the WCJ and the Board and held the Claimant was entitled to reinstatement. The Court stated that because the reason for the Claimant's termination could in no way be characterized as bad faith on her part in carrying out her duties, her earning power was not adversely affected through any fault of hers, so the Claimant met her burden under Pieper.

Clinical Trial of Cervical Disc Spacer Device

Anne Arundel Medical Center (AAMC) is offering a clinical trial of a cervical disc spacer device to avoid cervical fusion. Article

Cognitive Therapy and Exercise as Effective as Lumbar Fusion for Chronic Low Back Pain and Disc Degeneration

In cases of chronic low back pain with disc degeneration, a Norwegian study compared disability outcomes with cognitive therapy and fusion surgery. "Those who received cognitive therapy attended a lecture that taught patients that ordinary activity would not damage their discs, and that they could bend their backs (the Indahl talk). The main aim of the talk is to help patients avoid the fear of harming themselves through activity, to teach them not to be over-cautious and to correct negative feelings that would have psychological impact on their condition. Their instruction was completed by teaching them three daily exercise routines." As compared to the group that had fusion surgery: "No differences were seen in pain, use of analgesics, emotional distress or life satisfaction, and an equal number of patients returned to work from both groups."

Virginia Orders Reciprocal of America To Liquidate

PennLive.com carried an article that Virginia regulators ordered insurance company Reciprocal of America to Liquidate.

Governor Rendell Speaks About Workers' Compensation

Governor Rendell's comments about workers' compensation were reported in an article in the Citizen's Voice:

Judd Shoval, president of Guard Insurance Co., in Wilkes-Barre, a company that writes workers compensation policies in 20 states, said he was highly interested in the governor's responses to questions about workers compensation.

Shoval said the governor informed the business leaders he believes there needs to be some changes to the workers compensation system and that he plans to tackle these issues after the end of the current legislative session.
"His presentation was superb," Shoval said of Rendell. "His heart is in it. His delivery was excellent."

While Shoval believes the workers compensation system does not need a major overhaul, he agreed some areas within the system need improvement, such as the resolution of disputes and claims in a more rapid manner.

Another Presbycusis Theory Rejected in Commonwealth Court

In Wheeling Pittsburgh Steel Corp. v. WCAB (Bruce) the Employer's expert, Dr. Chen, posited that the predominant portion of sensorineural hearing loss occurs during the first ten (10) to fifteen (15) years of noise exposure, and the Claimant had an interim audiogram with a 5.63% binaural hearing loss. Dr. Chen testified as the Claimant then aged, he acquired age-related hearing loss that brought him up to 14.325%. Dr. Chen cited a treatise supporting his analysis. However, the WCJ credited Dr. Bell, who related all 14.325% to cumulative occupational noise exposure.

The Board affirmed, and the Employer argued before the Court that the Board erred in applying Mozena in this situation because Dr. Chen did not use a table to deduct age-related hearing loss. The Court rejected this argument, holding "A WCJ may dismiss an entire school of science if he determines it lacks credibility." The Court did not award counsel fees for a frivolous appeal however, finding it was reasonable for the Employer to seek this clarification of Mozena.