Answered on Apr 12, 2015
Insurers are often so preoccupied with ending WC claims that they forget that there is civil law governing all of our conduct. Though they have done an excellent job lobbying for very weak responsibilities for there improper claims management – there are still civil rules. For example, making up an excuse to fire someone can still lead to defamation claims, wrongful termination (non-union) claims and possible federal EEOC or PHRC claims. There is always a balance in the law between the legitimate concerns of the insurers in not having to pay false claims and also to make sure claimants are properly compensated for legitimate injuries – but the balance in this case really does favor the insurers. There should be legislation explaining the exact parameters here, but there is not no statute protecting Claimants. However, there does some to be some civil issues here – defamation, privacy torts etc. The problems is the costs to litigate probably exceed any benefits. Perhaps there is a way to spin it into a penalty petition or some unreasonable contest, but more facts of your case would matter. Good luck.