CONVERTING NEW YORK STATE WCL § 15-8 REIMBURSEMENT CLAIMS INTO A LUMP SUM ON BEHALF OF THE EMPLOYER: THE WHOLESALE WAIVER AGREEMENT
PRACTICE TIP: Converting future Section 15-8 reimbursement claims into a lump sum may be a viable option resulting in immediate financial resources and elimination of the need to routinely seek and await reimbursement under WCL § 15-8(d).
Our clients in the self-insured employer and carrier community often face an extensive waiting time to receive reimbursement from the Special Funds under Section 15-8 for medical and/or indemnity benefits paid on a claim. There is, however, an alternative to repetitively seeking and awaiting reimbursement.
The Special Funds Group might be willing to enter into a “Wholesale Waiver Agreement” (WWA) in order to permanently resolve an employer’s/carrier’s right to Section 15-8 reimbursement. Rather than continuing to receive future reimbursement, a WWA permits the employer or carrier to receive a one-time lump sum payment from the Special Funds Group in exchange for a waiver of any further reimbursement arising out of future medical and/or indemnity payments on a claim. This allows Special Funds Group to resolve and close their claims and allows carriers and/or employers to receive the benefit of an immediate payment in recognition of future liability.
The WWA also has the added benefit of simplifying settlement negotiations with the claimant. Once the WWA is entered into, settlement may proceed without the necessity of seeking settlement authority from the Waiver Agreement Management Office (WAMO) who oversees settlements on behalf of the Special Funds. Eliminating substantial delays in settlement authority from WAMO, the carrier and/or employer post-WWA may immediately negotiate and enter a settlement without any WAMO involvement.
If you are interested in exploring WWAs, please feel free to contact Jason M. Carlton in our office at (607) 723-0600, extension 104, or by email at email@example.com.
Please note that email is the best method to reach us. We are fully operational and staffed, currently working remotely.
This information is provided for general guidance only. This information should not be used as a substitute for consultation with legal counsel. Each case presents unique facts requiring individual analysis.