C&W Tops $2,000,000 in Supersedeas Fund Reimbursements on Behalf of Clients

Post Date
08/22/10

As you may know, Pennsylvania maintains a Supersedeas Fund through assessments made against all workers' compensation insurers and self-insurers. An insurer or self-insurer is entitled to obtain reimbursement from the fund for indemnity and/or medical benefits paid after supersedeas is first denied in whole or in part, but it is later determined that the compensation benefits were not payable.

In practice a request that the Judge suspend the payment of claimant's benefits during the course of the litigation, in our experience, is seldom granted. Judges typically perceive this would result in a hardship to the claimant, and claimant's counsel would not be entitled to fees. Supersedeas may still be requested on Petitions to Terminate, Suspend and/or Modify workers' compensation benefits. If the Judge determines that the Termination Petition burden of proof has been met, the insurer/self-insurer is entitled to reimbursement from the Supersedeas Fund for any indemnity and medical benefits paid from the date of the filing of the petition thru the date of the Judge's decision. If the Judge grants a Modification and/or Suspension Petition, the insurer/self-insurer is entitled to seek reimbursement for all or a portion of the indemnity benefits paid from the date of the filing of the petition thru the date of the Judge's decision.

In essence, the only way an insurer/self-insurer is likely to obtain Supersedeas Fund reimbursement is by successfully litigating a Termination, Suspension or Modification Petition.

C&W has monitored the amount of Supersedeas Fund reimbursement we have been able to collect for our clients over the last 10 years. We are proud to announce that we have successfully collected in excess of $2,000,000.00 for our clients.