Quick Guide to Workers’ Compensation in Michigan
Workers’ Compensation Insurance in Michigan
According to Michigan workers’ compensation laws, an employer is not required to offer specific workers’ compensation insurance, but they must provide a type of insurance that will cover the employee in the event of an injury. Most employers have workers’ compensation insurance in Michigan under a private insurance company, but some companies that are “financially sound” can be self-insured.
In order for an employer to self-insure, they must have proper approval from the Bureau of Workers’ Disability Compensation under the Michigan Department of Consumer & Industry Services. However, several smaller companies that provide similar services may act self-insured as a group in Michigan workers’ compensation laws. These laws are mainly covered in the Section 418.611 of the Michigan Statutes, provided at the following link.
What if my employer doesn’t have workers’ compensation insurance in Michigan?
If the employer fails to provide an employee with their rights for WC, Michigan workers’ compensation laws state that an employee can file a lawsuit against their employer for the damages. Workers’ compensation insurance in Michigan normally protects an employer against lawsuits, but if they are self-insured or fail to provide WC, an employee may be able to sue for a large amount of money.
The company will undoubtedly face fines and penalties associated with violation as well. The Bureau of Workers’ Disability Compensation is allowed to put a court order on the employer so they can’t operate their business until they become properly insured. Also, an employer may face a fine of $1,000 and 30 days to 6 months in prison for such a violation.
Obtaining Workers’ Compensation
In Michigan, workers’ compensation laws state that an injured party must report the injury to the employer immediately. The employer will then send the employee to a doctor under their workers’ compensation insurance in Michigan and have the doctor determine the extent of injury and how long the recovery will take.
Michigan workers’ compensation laws state that person can receive compensation for medical expenses, rehabilitation services, a reduction in wages, and for a permanent injury that has limited their amount of work in the future. The minimum amount of workers’ compensation insurance in Michigan will be determined by the director at the beginning of every year.
If you believe your claim for workers’ compensation has been unlawfully denied in MI, you should contact an attorney immediately.
What happen if I believe my employer has committed fraud?
According to Michigan workers’ compensation laws under 418.230 of the state’s statutes, information about workers’ disability compensation insurance policy information are kept confidential.
However, part three of this statute states the following:
“The confidentiality provided…does not apply to records maintained by the bureau that are part of or directly related to a contested case.”
The court can subpoena records if the employer refuses to hand forth the proper documents, so if you believe your employer has committed fraud concerning their worker’s compensation insurance in Michigan, you should not hesitate in filing a claim.