Illinois businesses need workers' comp reform
As Elk Grove Village mayor and the owner of an insurance business, I understand the vital contribution businesses make to our communities. The taxes and government regulations that have a heavy impact on the business climate in Illinois influence the daily decisions and future growth of all 3,600 businesses located in Elk Grove Village and many more throughout the state.
According to the 2014 Oregon Workers' Compensation Premium Rate Ranking Summary, Illinois has the seventh highest workers' compensation costs in the country, and the highest in the region - almost double those of Indiana and 18 percent or more higher than every other state in the Midwest.
In Illinois, if a worker's injury results even 1 percent from work-related activity, the employer is responsible for 100 percent of the costs. This formula is ripe for abuse, from employers being made solely responsible for the aggravation of pre-existing conditions, to weekend warriors claiming athletic accidents as on-the-job injuries. These claims are not the intended purpose of a system designed to protect and care for workers who are injured as a result of their activities on the job.
Reliance on the opinions of treating physicians also contributes to the state's high workers' compensation costs.
According to the Workers' Compensation Research Institute, Illinois' workers' compensation rates are 69 percent higher than Medicare for most services, and can reach 300 percent higher than Medicare for major surgery. The opinion of a treating physician should be balanced with reasonable and objective standards for the cost of treatment.
Legislative leaders may continue to disagree about many issues, but there's no reason to delay progress on an issue this important. We need a fair workers' compensation system that takes care of injured workers and keeps businesses and jobs in Illinois, by controlling the sky-high costs caused by those benefiting from faulty or exaggerated claims.
Craig Johnson, Mayor
Elk Grove Village