MONTANA MAY HAVE TO PAY PRE-1990 WORKERS’ COMP CLAIMS:

The state of Montana may have to pay up to $584,000 in workers’ comp claims because the 2003 Legislature, in an effort to balance the 2004-2005 state budget, diverted $18 million from Montana State Fund. When the state took the $18 million out of the insurance fund, it agreed to cover any unfunded liability that the Old Fund, which covers injuries occurring prior to 1990, incurs. Montana State Fund recently announced that the “Old Fund” will be over budget by approximately $500,000 by June 30. The state asserted that it would come up with the money if necessary. In 1990, lawmakers shut down the Old Fund to claims because it owed a half a billion dollars more in insurance claims than it could pay. The New Fund handles claims from July 1, 1990 onward.

Topics Claims Workers' Compensation