as they typically do to Plaintiff’s attorneys.
Virginia Code Section 65.2-309 through 65.2-311 states that Worker’s Compensation carriers can assert a lien against a workers “third party tort case” to recover sums equal to the amount paid for indemnity benefits and medical expenses as are paid by the Plaintiff. See Lockwood v. Automatic Control of Tidewater, 63 O.I.C 219 (1984) and Washington v. Miller & Rhoads, 68 O.I.C. 250 (1989. The amount to which the carrier is entitled often includes the money spent on their medical care, medications and partial wage replacement benefits paid by the Worker’s Compensation Carrier.
To combat carriers that assert excessive liens Plaintiff’s attorneys should insist on a detailed statement of expenses which comprise the lien and pay only what the carrier is entitled to less a pro-rata share of your attorney’s fee and costs. The third party settlement and amounts paid in disbursement, from the settlement should be reported to the VWCC which will calculate the credit the employer/insurer is entitled to against future compensation entitlements and how future benefits will be paid. Therefore, when a Worker’s Compensation carrier asks for too much, you have your chance to tell them to proverbially “pound sand.”
If you want help telling an insurance company to “pound sand,” please e-mail or call us at ABRAMS LANDAU, Ltd. (703-796-9555). Law Clerk Shawn Shook helped with this post.