Deck 7: Workers Compensation

Question 1

Prior to enactment of workers' compensation laws, employees had absolutely no recourse when they were injured.

Answer 1

False

Question 2

Workers' compensation applies only when an injury can be categorized as arising out of employment.

Answer 2

False

Question 3

Which of the following is NOT a problem associated with workers' compensation?

A)It has not achieved its intended objectives
B)There is evidence of abuse
C)Benefits to injured personnel are out of control
D)It has not succeeded in removing litigation from the process

Answer 3

C

Question 4

If a worker is injured because of reckless or intentional action by an employer, that worker can by-pass the workers' compensation system and sue in court.

Question 5

There are four types of workers' compensation: state funds, private insurers, self-insurance, and federal government insurance.

Question 6

Workers' compensation has four main objectives: income replacement, rehabilitation, accident prevention, and cost allocation.

Question 7

Although one of the objectives of workers' compensation is the reduction of costly litigation, many cases still go to court.

Question 8

Contested workers' compensation claims require:

A)Lawsuit
B)Public hearing
C)Direct settlement
D)Settlement agreement

Question 9

Injuries that are compensable through workers' compensation fall into one of just two categories: 1)temporary total disability, or 2)permanent total disability.

Question 10

The definition of what constitutes a serious injury varies from state to state. However, typically an injury is considered serious if:

A)It requires 24 hours or more of active medical treatment
B)It requires a trip the emergency room
C)It requires 24 hours or more of passive medical treatment such as observation
D)It causes the loss of two or more work days

Question 11

In workers' compensation cases in which the worker is fatally injured, dependents children receive benefits:

A)For life
B)Until they are employed full time
C)Until the age of 16
D)Until the age of maturity

Question 12

Workers' compensation laws were originally ruled as unconstitutional by the courts.

Question 13

The principal method used for determining insurance premium rates for employers is average number of work days lost per 100 employees annually.

Question 14

Which of the following is a theoretical approach for handling permanent partial disability cases?

A)The wage-loss theory
B)The human error theory
C)The decrease litigation theory
D)The domino theory

Question 15

Though workers' compensation laws vary from state to state, they all provide benefits, pay medical costs, and provide for rehabilitation.

Question 16

The key concept in distinguishing between an employee and a contractor for workers' compensation purposes is direction (supervision).