Longshoremen and Harbor Workers Injury Coverage

Working around commercial ships is dangerous business. Whether a worker is handling cargo, repairing or performing maintenance on a ship’s hull or engines, or part of a ship-building crew, just about everything around longshoremen and harbor workers is big, heavy and potentially deadly. It’s not surprising that the cost of injuries to men and women in these professions is rising, with about $600 million in longshoremen and harbor workers injury claims every year.

Not covered by the Jones Act, which applies only to people working on ships in operation on the water, or by state workers compensation programs, which apply only to on-shore employees and not to employees working over navigable waters, injuries to longshoremen and harbor workers who work directly with ships are covered by the Longshoremen and Harbor Workers Compensation Act (LHWCA). Injured workers covered by the LHWCA by law are guaranteed compensation for medical costs and a portion of lost income when their injuries are incurred in the line of duty.

Employers in maritime industries are required by federal law to insure workers against injury, either by purchasing a LHWCA-qualified insurance policy or meeting the requirements for being a self-insured company. Unfortunately, even though the insurance exists for the benefits of longshoremen and harbor workers, insurance companies and self-insured employers don’t like paying the costs of an injured worker and often attempt to deny valid claims in order to minimize costs. Injured longshoremen and harbor workers should consult with an attorney experienced in LHWCA claims before filing a claim to minimize the risk of rejection and fight against insurers if their claim is rejected.

Important Things to Know About the Longshoremen and Harbor Workers Compensation Act

• Requires employers to provide compensation and medical care to employees suffering job-related injuries incurred over navigable waters of the United States

• Also applies to areas and facilities adjoining navigable waters used in cargo handling, maintenance, repair or construction of vessels

• Injuries covered include occupational diseases that occur as a result of work duties

• Covers workers employed as longshoremen, harbor workers, ship maintenance and repair crews, shipbuilders, shipbreakers and employees in other maritime occupations that primarily operate on docks or shore

• Does not cover office employees, shore-based retail or service employees, small vessel workers, employees who build or repair recreational vessels, or a vessel’s crew and officers (all of which are covered under other federal and state statutes)

• Compensates for all treatment costs and two-thirds (2/3) of an injured employee’s average weekly wage

• Benefits are paid to surviving spouse or dependents if injury results in the worker’s death

• It is illegal for an employer may not discriminate against an employee or fire an employee because the employee filed a claim for compensation under the LHWCA; however, an employer may fire an employee for filing a fraudulent claim

• A Special Fund exists to limit an employer’s liability when the employee has a pre-existing permanent partial disability and certain other circumstances apply

• An injured employee who disagrees with a decision regarding his or her LHWCA claim by requesting a formal hearing before an administrative law judge; if appropriate, that decision may be appealed to the Benefits Review Board, the U.S. Court of Appeals and ultimately the U.S. Supreme Court

• If an employer does not pay an installment of compensation within 14 days after it becomes due, the installment will be subject to a penalty equal to 10 percent of the amount due and is to be added to the unpaid installment; under some circumstances the penalty can be waived

• An employer’s authorization to self-insure under the LHWCA can be revoked or suspended if the employer fails to comply with any requirement of the law or regulations or fails to remain financially viable

In Michigan, the personal injury firm of Sachs Waldman, P.C., can review your case in order to determine the full extent of available legal rights and remedies. Our experienced attorneys can also assist with filing injury claims under the Longshoremen and Harbor Workers Compensation Act and ensure your best interests are protected. Call our Detroit personal injury attorneys’ office at 1-800-638-6722to schedule a free consultation.