Monday, September 21, 2009
Legislative Review of Pinnacol leads to Proposals
Pinnacol Assurance has been under legislative review. Testimony was taken from many who complained about some of the Pinnacol practices. In the past I've tried to say that this is not just a Pinnacol situation but relates to many insurers who simply take advantage of the laws and procedures available to them to promote the insurers interest over the claimant. Pinnacol was the focus because it is a hybrid agency that is part public and part private in its operations. But the problems with workers comp are not restricted to Pinnacol. Most claimants should realize that there is an inherent conflict between an insurers interests and the claimants interests. It is unavoidable that an insurer will seek to save on the expenses of a claim. The claimant is not interested in saving at what he may feel is unfair to his interest. His viewpoint is on maximizing his claim. The laws and rules in place along with some practical considerations can often work to the advantage of insurers. The fact the workers compensation is quite complex and sometimes expensive works to the advantage of insurers especially when a claimant does not have an attorney. In this article in the Denver Business Journal on proposals from the Pinnacol review you can see that lawmakers are aware of problems in the system.