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High Levels of Workers’ Compensation Fraud by North Carolina Employers

While most media reports of Workers’ Compensation (WC) fraud deal with falsified reports by injured workers, The Fraud and Compliance Division inside the North Carolina Industrial Commission has issued numerous criminal charges and penalties last year. A detailed release outlining the commission’s findings is available here.

The Study Findings

For fiscal year 2017-2018, the Fraud and Compliance Division of the North Carolina Industrial Commission issued more than 600 criminal charges—and collected over $8 million in penalties—from employers in the state. The penalties collected represent a 465% increase over the $1.7 million collected during the 2016-2017 fiscal year.

Proceeds will ultimately go to the state’s Civil Penalty and Forfeiture Fund—which benefits public schools in North Carolina. The total number of criminal charges filed against non-compliant employers in fiscal year 2017-2018 is greater than the previous four years combined.

The Importance of Enforcement

The enforcement of WC law in North Carolina is vital to not only the worker, but to all taxpayers. Should an employer fail to carry Workers’ Compensation insurance, it is the injured North Carolina employee who suffers the most-immediate harm in the form of an unnecessary hazard. However, the cost burden for both fraud and non-compliance shifts to those medical providers who never receive payment for their services—and ultimately to the taxpayers at-large.

We Can Help

If you have questions, Henson Fuerst has answers.

If an insurance company stands between you and the Workers’ Compensation benefits you need, Henson Fuerst will stand up to them for you. Learn how our experienced North Carolina Workers’ Compensation Attorneys can help you get your Workers’ Compensation benefits. Call us today at 866-677-0420 or complete a free initial consultation form. There’s no obligation, and our phone lines are open 24/7.

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