QUESTION
Is my employer still responsible for paying my workers’ compensation benefits after filing for bankruptcy?
Asked on Aug 27th, 2012 on Personal Injury - Michigan
More details to this question:
I currently receive funds bi-weekly for an accident that occurred two years ago. The case was settled with Gallagher Bassett this year. My employer filed for bankruptcy August 2012.
9 ANSWERS
Criminal Defense Attorney serving Anderson, SC
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The David F. Stoddard Law Firm
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If the employer had insurance coverage for this, the bankruptcy will not affect the settlement. If the employer is self insured, it might.
Answered on Sep 05th, 2012 at 6:24 PM
Appellate Attorney serving Grosse Pointe Farms, MI
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Musilli Brennan Associates, PLLC
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As long as your employer was not self insured their carrier, at the time of the accident, should continue payment of your claim.
Answered on Sep 05th, 2012 at 6:24 PM
Criminal Defense Attorney serving Montrose, NY
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Law Office of Jared Altman
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Yes. You should still get paid.
Answered on Sep 05th, 2012 at 12:17 PM
Workers' Compensation Attorney serving Seattle, WA
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The Grady B. Martin Law Office
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If a self insured employer goes bankrupt, the Department may issue an order assuming jurisdiction regarding the claim and pay any additional benefits that an injured worker is entitled to. You should call an attorney to discuss your claim. An attorney will ask you questions about the status of your workers' compensation claim, what formal legal orders have been issued, your employment status, your medical status, and other issues. If appropriate, an attorney might get a copy of your entire claim file to review it in detail. He or she will then be able to explain what additional benefits you may be entitled to and whether you would benefit from actually having an attorney represent you. This type of consultation and claim review should be done free of charge. Good luck to you.
Answered on Sep 05th, 2012 at 11:12 AM
Personal Injury Attorney serving Beverly Hills, CA
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Engelman Law, APC
It depends if the employer was able to have this debt discharged in his/her bankruptcy proceeding. Typically, this type of debt would not be dischargeable and your employer would have to still pay this to you.
Answered on Sep 04th, 2012 at 9:22 PM
Automobile Accidents and Injuries Attorney serving Santa Ana, CA
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Law Offices of Maurice L. Abarr
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You are receiving WC benefits from either a WC insurance company or a self-insurance plan that is funded by the employer. If the self-insurance plan is also declaring bk there is an agency that will step in to take place of s-insurance plan and you should be ok.
Answered on Sep 04th, 2012 at 2:17 PM
Ronald A. Steinberg
I believe the employer is responsible; typically, this is paid by insurance, and as long as the policy was in force, the insurance company should be paying. If the employer did not pay for the insurance, you should notify the State.
Answered on Sep 04th, 2012 at 2:00 PM
Personal Injury Attorney serving Charlotte, NC
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Paul Whitfield and Associates P.A.
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The payment is likely coming from an insurance company and it is not in bankruptcy. The ban kruptcy of your employer is not likely to make any difference.
Answered on Sep 04th, 2012 at 1:57 PM
Small Businesses Attorney serving Livonia, MI
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Klisz Law Office, PLLC
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It's likely being paid thru an insurer and would continue.
Answered on Sep 04th, 2012 at 12:34 PM