Each year, we ask the LRA SIF participants to ask their workers to complete an updated “Second Injury Fund” questionnaire. Employers should also have new employees complete the questionnaire. Both of these practices can help us mitigate claims cost to the Fund. If an injured employee is found to have an existing health issue or past injury that could contribute to the current injury, we can apply to the Second Injury Fund for supplemental coverage. If approved, this can reduce the overall cost of the claim for the employer and the Fund as we receive certain reimbursements to the claims expense.
The Louisiana Workers’ Compensation Second Injury Fund was created to encourage the employment of physically handicapped employees who have a permanent, partial disability by protecting employers’ group insurance funds from excess liability for workers’ compensation for disability when a subsequent injury to such an employee merges with his preexisting permanent physical disability to cause a greater disability than would have resulted from the subsequent injury alone. La. R.S. 23:1371.A.
If a claim is accepted by the Second Injury Fund, then eligible medical and indemnity benefits are reimbursed by the Fund after the following deductibles*:
This means that your loss ratio and experience modifier are not changed with the large loss. Instead, the loss is capped at the deductible amounts.
*If the proper form is used, certain criteria are met, and an employee fails to answer truthfully, then the employee may forfeit his/her right to workers’ compensation benefits.
Since 2013, a 100 percent compliance with the Second Injury Board Knowledge Questionnaire has been one of five requirements for LRA SIF members to be eligible to receive a safety dividend. This post-offer medical history questionnaire must be completed and on file for all employees. Medical questionnaires should be periodically updated by employees.
Access the questionnaire in English and Spanish. For more info, contact the Loss Prevention Department at (504) 454-2277.