Workers’ compensation is an important security net that guarantees if someone is injured while working, they will receive the compensation that they deserve to recover their losses. The bad news for those in Florida is that their compensation rates are set to see a sudden incline; however, while they’re destined to spike soon, it doesn’t look like they will go as high as initially predicted.
Those living in the Sunshine State have had some time to prepare for this as the Florida Office of Insurance Regulation first released the order for a price raise on September 27th. While the National Council on Compensation Insurance requested that prices be raised by 19.6 percent, the Florida office chose to instead only raise them to 14.5 percent. While this only appears to be a slight difference, the 5 percent lower rates are a major plus.
Businesses will start seeing the price spike beginning December 1st.
Why did Florida decide to raise the cost on workers’ comp? It all ties back to the cost of attorneys and guaranteeing that they will be provided with enough money for their services. Until April, attorneys had a cap on their fees that limited them to 20 percent for the first $5,000 and 15 percent for the next $5,000 when they won benefits for their clients. However, this was since ruled unconstitutional after one over-worked attorney came out of a case making approximately $2 for every hour of their work on a case.
The increase in rates is a frightening thought for many, especially considering that in 2003 Florida had one of the highest rates in the country and was only brought down through serious reforms. Those opposing the new hike in prices mention that it maybe a serious threat to small businesses and worry that lawyers may take advantage of the new ruling to charge exorbitant fees. Across the state, businesses are getting involved as they work to battle the rise in prices.
The entire process of workers’ compensation can be challenging and confusing. That’s why, if you find yourself in a situation where you are facing these regulations and rules, a good Florida workers’ compensation lawyer is vital. Our team of attorneys specializes in workers’ compensation and can help you through any issues you may encounter. If you’re battling workers’ compensation or having problems getting the money you deserve, contact the law offices of Evan M. Ostfeld, P.A. at (954)227-7529.