School employees who contract COVID-19 could qualify for workers' comp
Educational institutions may also see workers’ comp claims related to the virus beyond employees who have been infected.
Although workers’ compensation insurance would not normally cover a virus, many states have extended it to cover COVID-19 for certain essential workers. In California, a temporary “rebuttable presumption” was created that shifted the burden of proving the virus was contracted at work away from the employee. Teachers and other education staff who contract COVID-19 would need to check whether they are eligible for workers’ compensation in their state.
“Workers’ compensation has never covered common colds or the flu because it is almost impossible to track where you may have contracted the illness,” said Justin Dorman, national product manager, workers’ compensation Burns & Wilcox. “COVID is obviously different, and it is good to see a lot of states battling for certain employees, especially in health care, because their jobs involve a higher likelihood of exposure. The issue is just how far do we expand these laws because you also do not want to put the whole burden on the workers’ compensation system.”
The average cost for all workers’ compensation claims from 2016-17 combined was $40,051. The average cost for COVID-19 claims has been about $5,000 so far, Dorman said, and total claims have been fewer than expected at this point.
“Right now, most of these claims involve quick doctor visits and medications; the employee treats this similar to the flu and then comes back to work,” Dorman explained. “There are, unfortunately, still some outliers and those who have had longer recovery or more severe illness. These claims may end up being much higher than they were initially, and it will take years for us to really see how this pandemic has impacted the industry in all lines of business.”
Employers may also see workers’ compensation claims related to COVID-19 beyond those who have been infected. “There may be employees who are not infected by COVID but still may have some mental health issues from being secluded and alone for so long, and they may need treatment for that,” Dorman said. “There has to be a direct correlation to the injury and your employment. If they have been struggling the whole time, is it due to work, or is it not? It is going to be very similar to COVID, where there is some gray area.”
Schools working on reopening plans should closely monitor CDC and OSHA guidelines and have contract tracing procedures in place. “They should make sure they are as up-to-date as possible with what is happening in their local county or community, and they are in constant contact with their insurance agent,” Dorman added. “This is evolving and changing almost every day.”
Heather Schaaf is underwriting director at Burns & Wilcox. A version of this article originally appeared on the Burns & Wilcox website and is republished here with consent.
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