Last month, Rep. Jay Hoffman provided his commentary on the worker’s compensation issue in our state. While lawyers and politicians are very good with time-tested words, it is time the public sees an example of the numbers facing small businesses.
Over the last 15 years our company has paid over $2.5 million in premiums. In the same period, we have incurred 21 claims costing approximately $500,000. On average,each claim costs $23,180, while annual premiums averaged $166,667. Premiums have been seven times greater than claims. Something is seriously wrong with the system when small businesses must disburse $5,000 per employee per year.
We think Mr. Hoffman spends more time talking to his lawyer friends than talking to the families he represents. If he did, he would learn that the working families would prefer a larger paycheck. These premiums prevent that from occurring.
Since Illinois is one of the most expensive states for worker’s compensation, just maybe the chirman would want to determine why and,for the good of the state,try to make our state more competitive. His commentary suggests he is content with the status-quo, while blaming those “evil” insurance companies. Are they evil in the other 49 states also or just in Illinois?
No one is suggesting an end to the system, only some common sense and a more affordable balance between cost and benefits. We believe that is Mr. Hoffman’s responsibility as chairman. Maybe it is time for some honest hearings or a new chairman.