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Rousmaniere: How Opt Out Fizzled

By Peter Rousmaniere

Wednesday, June 1, 2016 | 894 | 1 | min read

The workers’ compensation industry has acquired an appetite for public self-criticism. It searches for ways to renew or replace old practices. For many and often contradictory reasons, trust in the system has eroded badly.  Peter Rousmaniere So why is opt out, a fresh idea with an actual track record, broadly received with skepticism?  In the 2000s, reputable national employers such as Safeway and Costco embraced opt out in Texas. Their endorsement provided the bridge for the concept to the rest of the country. Advocates began in about 2010 to proselytize beyond ...

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Bruce Hockman Nov 3, 2016 07:58 AM

One might do well to consider that few if any change in the country's workers compensation system that attacks the rising frictional costs in the delivery system related to legal intervention (on both sides ), results in a favorable outcome. Come to think of it, this is the case in any benefit related system that requires legislative enactment. One might also consider the connection on this point with the recent spate of Appellate Court pronouncements on the limitation of attorney fees. The error(s) made by proponents of "Opt-Out", started with the lack of understanding or appreciation of the fact that proposing any change that reduces the benefits (income potential) of any party imbedded in the WC system will be met with objection, and likely failure in the legislature, and possibly in the courts.

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