Owners think workplace injury claims are simple.
Something happens, someone gets hurt, they file a claim with insurance. Easy.
That assumption…
Is slowly draining thousands of dollars from your bottom line each year — sometimes far more. Employee injury claims are complicated. From a legal standpoint, a financial standpoint, an HR standpoint. But they don’t have to derail your business. Let’s dive into why most injury claims are more complicated than they seem.
First things first, the complexity begins as soon as the injury occurs.
Post Contents
What you will learn:
- Why Workplace Injury Claims Are Costing Businesses Big
- How Injury Claims Become Complex (Fast)
- Why you should work with a job injury lawyer
- The biggest mistakes employers make with injury claims
- What to expect when your claim goes to litigation
Employee Injury Claims Are Costing Businesses Big
Let’s start with the obvious: money.
According to new NCCI data, severity increased 6% in 2024 when comparing medical and indemnity combined — that also means losing an average of 80 workdays per claim. Eighty days of lost productivity per injury.
There’s more too. Medical expenses, temp labor, OSHA fines, legal fees, managing the claim itself. When you add it all up, that “simple” injury claim can cost your business tens of thousands.
That’s why it’s important to understand… workplace injury claims are complex by nature. And working with a job injury lawyer at the first sign of trouble can help ensure things don’t spiral out of control.
If you’re in the area, the best worker’s compensation lawyer in Minneapolis can help make sure things are handled right from the start.
But here’s the real problem: numbers across the board are getting worse. Much worse.
How Injury Claims Become Complex (Fast)
Think about your company’s worst injury claim.
Maybe someone fell off a ladder. Slipped and fell. Got into a fight.
Sounds simple enough. But would your insurer agree? Possibly not.
Here’s the truth most owners don’t see…
Just because the injury is simple doesn’t mean the claim remains that way. There are countless factors that quickly change an “easy” injury into a headache for you (and your insurance company).
Factors include:
- Worker’s pre-existing conditions
- Mental health issues that arise after the injury
- Liability issues (who’s at fault?)
- Involvement from a third-party (furniture, outside workers)
- Return-to-work disagreements
Mental health is a big one. Mental health conditions were named the leading driver of complex claims in 2023 by Healthesystems. And if early data holds true, it looks like 2024 will be no different.
The point is… workers compensation claims are extremely complex regardless of how they start. And the longer you prepare for that complexity, the better off you’ll be.
Why You Should Work with a Job Injury Lawyer
Imagine this…
An employee injures themselves at work. A few weeks pass, and they decide to hire a job injury lawyer.
What happens to that claim?
If the answer is “it immediately becomes a lot more difficult to manage,” that’s exactly right.
When an employee hires an attorney, they’re bringing in someone whose job is to fight for every penny of compensation the employee is owed. Period.
That’s not an attack on injury attorneys. Every side has representation for a reason. But as an employer, acting with that mentality before an employee even files their claim with insurance is critical.
Treat an injury claim as the legal matter that it is, from day one. That means following state workers’ comp guidelines to a tee. It means keeping excellent records. And it means having a lawyer review any documents BEFORE they get submitted to your insurance carrier.
Bottom line…
The more prepared you are for that complexity, the better off you’ll be. Responding to trouble is far more costly than preventing it. (Especially when that “trouble” is represented by a team of lawyers.)
The Biggest Mistakes Employers Make with Injury Claims
Avoid these… at all costs.
1. Taking too long to file an incident report.
Time is your friend and your enemy during a worker injury claim. Delays in reporting can and will be used against you by your insurance company (and your employee’s attorney).
2. Falling off communication with injured employees.
Hearing about an injury… and going quiet. Six months later the claim is still open. Now it’s twice as expensive.
Staying engaged throughout the recovery process is one of the best ways to ensure claims don’t spiral out of control.
3. Treating all injuries as workers compensation claims.
Did a workplace injury happen due to negligence on a third party’s part? Will OSHA need to get involved? Is this a product liability case?
Misclassifying an injury claim early on will only limit your options later.
4. Not having a return-to-work plan.
Sending mixed signals about an employee’s return to work is a great way to extend the length of their claim. Have a plan from day one.
5. Goin solo.
Trying to navigate a complex injury claim without a team of specialists will cost you… a lot.
Employee injury claims are only as complex as you make them. But one thing is certain: these are the 5 most common mistakes business owners make when filing a claim. Learn from others’ mistakes and don’t make them yourself.
What to Expect When Your Claim Goes to Litigation
Hold onto your seats…
61% of workers compensation professionals listed litigation as their biggest pain point, according to a recent Healthesystems survey. Don’t think that applies to your business? Think again.
Litigation is expensive. And when a claim goes to trial, every cost associated with that claim goes up.
Just how much higher? Well, WCRI’s newest study shows workers comp claims with attorney involvement increased…
212% in severity of costs (think: expense payments)
and…
384% in lost time days.
Businesses that understand the injury claim process will always beat solo-employees and their army of lawyers. But that doesn’t happen by accident.
Build a rock solid documentation process. Have every document reviewed by legal professionals. And never assume your insurance company will always have your back.
Wrap Up: Why Worker Injury Claims Are More Complicated Than They Seem
Worker injury claims are overwhelming. And while the facts paint a scary picture, there’s plenty you can do to prepare.
Remember…
- Complexity has increased year over year
- Attorney involvement crushes your bottom line
- Mental health conditions are becoming more prevalent
- Every claim is different
The more you prepare for the unexpected, the easier every claim will be.
Every complex claim can’t be prevented. But at the very least, being prepared when they happen makes all the difference.