Defense Base Act Compensation Blog

The Modern Day DBA Casualty

Posts Tagged ‘War Hazards Recovery’

War Hazards Act pays Insurance Companies more for expenses than to Claimants for compensation

Posted by defensebaseactcomp on March 9, 2011

“Over the past six years  (does  not include 2010) under the WHCA,
the federal government has paid more in reimbursements to insurers for expenses
$19.7 million
than it has paid in compensation to claimants
$12.1 million”
There is evidence that the current process, in which the federal government identifies WHCA claims after they have been paid as DBA claims and then reimburses insurers for claim and administrative costs, results in the federal government paying significant amounts that do not go directly to claimants.
Over the past six years under the WHCA, the federal government has paid more in reimbursements to insurers for expenses ($19.7 million) than it has paid in compensation
to claimants ($12.1 million).
There is also evidence, including testimony provided by DBA and WHCA claimants at a 2009 House Committee on Oversight and Government Reform hearing, that in some cases, claimants with injuries that clearly fall under the statutory requirements of the WHCA must first navigate procedural and other requirements of their contractors’ DBA insurers before their cases are eventually transferred to DOL.
In some cases, DBA insurers controvert claims or oppose specific benefits for claims that are likely to end up at the DOL under the WHCA. Under the current system, insurers have the right and responsibility to investigate all claims and controvert or oppose claims and benefits they feel are not their responsibility or that fall outside of the DBA.
However, this can cause delays for claimants, including claimants with clear WHCA cases that will eventually be paid by the DOL.

Posted in ACE, AIG and CNA, Civilian Contractors, Contractor Casualties and Missing, DBA Attorneys Fees, Defense Base Act Attorneys, Defense Base Act Law and Procedure, Defense Base Act Lawyers, Delay, Deny, Department of Labor, Follow the Money, Hope that I die, Injured Contractors, LHWCA Longshore Harbor Workers Compesnation Act, War Hazards Act | Tagged: , , , , , , , , | 4 Comments »

WAR HAZARD RECOVERY: The Top Secret Cost of the Iraq and Afghnanistan Wars

Posted by defensebaseactcomp on August 10, 2010

$8 Trillion for Iraq and Afghanistan Wars does not include Veterans or Contractors Care

Contractors currently outnumber troops on both fronts with more on the way.

Never does a cost estimate  include the huge


Cost’s of the War Hazards Act to the Defense Base Act Insurance Companies, AIG, CNA, ACE/ESIS, Zurich.

Nor do they include the additional burden placed on the  VA system by Disabled Contractors who are denied benefits by the insurers.  These insurers who are falling over each other to take the huge premiums.

Further many of these Disabled Contractors and their families land in our social services systems to  “survive”.

How will we figure the cost of ruined lives, ruined families?

Veterans for Common Sense

August 5, 2010 (Chicago Tribune) – It’s a shame to let accountants spoil the charming romance of war, but sometimes they insist. Recently the Congressional Research Service reported that our military undertakings in Iraq and Afghanistan have marked an important milestone. Together, they have cost more than a trillion dollars.

That doesn’t sound like much in the age of TARP, ObamaCare and LeBron James, but it is. Adjusted for inflation, we have spent more on Iraq and Afghanistan than on any war in our history except World War II. They have cost more in real dollars than the Korean and Vietnam wars combined.

But we can only wish we were getting off so lightly. Neither war is over, and neither is going to be soon. The House just approved $37 billion in extra funding to cover this year, and the administration wants another $159 billion for 2011. That won’t be the final request.

Worse, the CRS figure is only part of the bill so far. It noted the sum doesn’t include the “costs of veterans’ benefits, interest on war-related debt or assistance to allies.” All of those will go on after these wars are over, which someday they may be.

Scholars Joseph Stiglitz of Columbia and Linda Bilmes of Harvard published a book in 2008 called “The Three Trillion Dollar War,” which gives a more realistic estimate. But that, too, is an understatement. They figure that when all long-run costs are factored in, the tab will be at least $5 trillion and could reach $7 trillion, or nearly twice as much as this year’s entire federal budget.

And that was two years ago. I asked Bilmes for an update, and she said some obligations, like veterans’ medical and disability compensation costs, “have exceeded our earlier projections.” Do I hear $8 trillion?

The beauty of the current conflicts, however, is that we can pretend we don’t have to pay for them. Unlike past wars, when taxes were raised to defray the cost, these have been financed with the help of borrowed funds. But eventually the astronomical bill will have to be paid. Read the entire Column here

Posted in ACE, Afghanistan, AIG and CNA, Civilian Contractors, Contractor Casualties and Missing, Defense Base Act Law and Procedure, Department of Labor, Dropping the DBA Ball, Follow the Money, Iraq, Racketeering, War Hazards Act, Zurich | Tagged: , , , , , , , , , , , , , | Leave a Comment »

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