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FRANKFORT, Ky. (Aug. 26, 2009) – An annual filing most insurance carriers will use to develop rates for workers’ compensation coverage shows the fourth consecutive decrease in loss costs, Department of Insurance Commissioner Sharon P. Clark announced today. The 2009 filing, 
approved by the state Department of Insurance and effective Oct. 1, is by the National Council on Compensation Insurance Inc. (NCCI), an advisory organization that serves as the oldest provider of workers’ compensation and employee injury data and statistics in the nation. “Kentucky employers and employees alike should view this as very good news,” said Clark. “Not only do employers benefit since workers’ compensation insurance is a large cost of doing business, but we are seeing evidence of safer working conditions for hardworking Kentuckians.” Clark noted that the report shows a continuing decline in the number of workplace injuries and the severity of those claims. Data collected from insurance carriers is used to develop loss costs, which is the average compensation for lost wages, based on the level of disability, plus medical benefit payments. Use of the information is voluntary but most workers’ comp carriers use the NCCI loss cost values as a base to which the insurer’s own loss adjustment and overhead expenses are added to arrive at the rates charged to Kentucky employers. The loss cost figures show an average reduction of 6.4 percent for the 598 industrial classes used in Kentucky. These classes include manufacturing, office and clerical, contracting, and goods and services. For coal classes, underground mining costs dropped 20.4 percent while surface mining decreased 13.1 percent.
The Kentucky Department of Workers’ Claims reports the reappointment of ALJ Overfield and ALJ Coleman for terms to expire December 31, 2013. Additionally, the Nominating Commission has made three recommendations each for two additional ALJ posts with terms also expiring December 31, 2013. The recommendations are: Tyra L. Redus, Effie Layne Stidham, Robert L. Swisher, Michael W. Alvey, Jeanie Owen Miller, and Tram Runnels.
Redus is a former U’Sellis & Kitchen attorney and was admitted to the Kentucky Bar in July of 2004. Stidham was previously an attorney with Morgan, Bailey & Collins. She is presently in solo practice in Wooten, Kentucky. Swisher is a partner with the Northern Kentucky firm of Jones, Dietz & Swisher. Alvey and Miller are Owensboro attorneys. Runnels is a Western Kentucky attorney who was previously recommended by the Nominating Commission to fill a vacant ALJ post in June of 2008.
WorkCompCentral reports that a California claims adjuster, her ex-husband and her daughter were recently arrested for an alleged scheme to defraud Zurich and Fireman’s Fund insurance companies by issuing checks for phony services to workers’ compensation claimants. Read the story here.
The Lexington Herald-Leader reports that a Lexington, Kentucky parking meter attendant allegedly punched a 70-year-old man who was questioning a citation. According to the LHL story, the attendant, a former boxer, had apparently been released from jail just six months before being hired by LexPark, the Lexington-Fayette Urban County parking authority. Read the full story here.
The DWC announced on August 5, 2009, it will be taking applications for a new ALJ position. Details are:
The Workers Compensation Nominating Commission is now accepting resumes for positions as Administrative Law Judge (ALJ) for the Kentucky Department of Workers’ Claims. These are full-time positions and appointees shall not hold any other public office or maintain any private practice. 
Applicants for Administrative Law Judge positions must be licensed attorneys and must have five (5) years experience in the Commonwealth in the practice of workers’ compensation law or a related field and extensive knowledge of workers compensation law [KRS 342.230(3)]. The salary to be paid is that of a Circuit Court Judge.
APPLICATIONS MUST BE RECEIVED ON OR BEFORE noon (EDT) Tuesday, August 18, 2008. Interested parties are required to send one original resume and seven copies, along with a cover letter containing an e-mail address, to the attention of Brenda Majcher, Nominating Commission Clerk, Department of Workers’ Claims, Prevention Park, 657 Chamberlin Avenue, Frankfort, Kentucky 40601. Questions may be directed to Mrs. Majcher at (502) 564-5550.
The Lexington Herald-Leader reports that the Kentucky Retirement Systems (KRS) (the state’s pension system) spent over $700,000 of its medical insurance money on an ” ‘ill-advised’ real-estate deal, one that involved improper mingling of funds, a lack of basic investment research and internal conflicts of interest.”
In 2006 KRS bought property adjacent to its Frankfort offices for $752,000, just a few months after the previous buyer paid $450,000 for it. KRS recently sold the land to the Kentucky State Police for a little over $300,000.
Read the complete Herald-Leader story.
Kentucky needs to follow Virginia’s lead for moving into the 21st century. Workerscompenstion.com recently posted a piece about the Virginia WCC going paperless. The agency’s on-line portal will allow individuals to file claims, insurance companies to file reports of injury, and attorney’s to view and manage case files. Read the post here.
