Put it in Practice: Monthly Tips for Florida WC Professionals

(10-14-21) STOP AWW HEADACHES BEFORE THEY HAPPEN!  Calculating the AWW is a landmine that can turn a miscalculation by a few pennies into a litigation quagmire.  Why?  Those pennies expose the E/C to penalties, interest, fees and costs. 

Almost every initial Petition seeks the same benefits:  adjustment of the AWW; payment of TT/TP, authorization of a PCP and, of course, PICA.  If the AWW/CR is thoroughly investigated and properly ascertained at the beginning, you can significantly reduce overall exposure in the case and avoid unnecessary litigation. Here’s how adjusters can prevent AWW headaches:

1. As soon as the claim comes in, immediately obtain not only the 13-week wage statement but the payroll to support it as well.  Employers often err in transcribing the numbers and sometimes leave out includable income such as bonuses and special pay.

• If the 13 WWS contains less than 75% of the customary full-time hours, look into the possibility of a “similar employee,” which is defined as an employee who:  1. Performs the same work as the claimant; 2. Works at the same facility or crew; and 3. Is paid at the same rate. 

• Remember, the similar employee must also have worked at least 75% of the customary full-time hours.  If there is no similar employee, use either a contract of hire or the claimant’s actual wages. 

• ALWAYS ask about employer-provided insurance benefits and whether they have been terminated.  If so, the employer cost of insurance must be added to the AWW.  This issue is fertile ground for litigation and a common source of claimant’s attorney fees. 

If there is ever a question, please feel free to reach out to one of us at HR Law and we will guide you through the issue so you can avoid unnecessary penalties, interest, fees and costs.

This month’s author is Scott Miller.  Questions?  smiller@hrlawflorida.com