NH WORKERS COMPENSATION EXAM 1 2025/20256 WITH 100% ACCURATE
SOLUTIONS
According to the text, workers' compensation costs are equivalent to what percentage of a company's
payroll? - (answers)20%-30%
what is meant by the term "no fault" relative to workers' compensation? - (answers)The employer agrees
to pay for all injuries to employees regardless of whose fault, and in turn, the employee gives up their
right to sue the employer in relation to the on-the-job injury
What are the objectives of workers' compensation, as discussed in class? - (answers)1. Relieve public &
private charities of financial drains
2. Provides sure income and medical benefits to work-related accident victims, or income benefits to
their dependents. wage replacement is typically 1/3.
3. Provide a singe remedy and reduce court delays, cost, and workloads AOE personal injury litigation
4. Eliminate payment of fees to lawyers and witnesses, as well as, time-consuming trials and appeals
5. Encourage maximum employer interest in safety and rehabilitation through and appropriate
experience-rating mechanism
6. Promote frank study of causes of accidents, reducing preventable accidents, reducing preventable
accidents and human suffering
Be able to describe the types of economic losses experienced by employees and their families when a
serious accident results in compensable injury to the employee. - (answers)1. Loss of earnings &
Additional Expenses
2. If a worker dies because of a work-related injury or sickness, the survivors lose the income the worker
would have earned - less the amount spent on personal expenses - over the remainder of the individual's
working career and retirement years. Total and permanent disability cause even greater earning losses
then death because the worker must be maintained even though unable to work
3. The deceased or disabled worker often is unable to provide valuable household services that must
now be foregone or be taken over by someone else at additional cost.
4. society also loses the taxes that injured workers would have paid and the products or services they
would have produced.
, In most states, what is the income replacement ratio used by workers' compensation systems? -
(answers)66%
What are the major characteristics of compensation laws? - (answers)- Compensation laws can be
compulsory or elective. under an elective law, the employer may accept or reject the act. However, if an
employer rejects the act, it loses the three common law defenses. this means that in practice all the laws
can be considered "compulsory." A compulsory law requires each employer to accept its provisions and
provide for benefits specified. Most jurisdictions require employers to obtain insurance or to provide
financial ability to carry their own risk.
- Limitations on coverage - The uncertainty arises from the wide variety of permanent partial disability
cases that the schedules do not cover satisfactorily. Two factors usually prompt compensation litigation.
One is uncertainty about whether an accident AOE and in COE; the other is the extent of disability. Also,
it can be difficult to separate impairments that are work related from those that are not.
-Employers accepted, or were required to accept, responsibility for injuries AOE and in the COE without
regards to fault. In exchange, employees gave up the right right to sue employers for unlimited damages.
This is usually referred to as "Exclusive Remedy".
- There are two concepts that are broadening the exclusive remedy provision: 1. the expansion of the
dual capacity doctrine 2. the intentional tort exception
- Although workers' compensation laws initially had no specific provisions for occupational disease, all
sates now recognize responsibility for them. Coverage extends to all diseases AOE and in the COE. Most
states do not provide compensation for a disease that is an "ordinary disease of life" or, that is not
"peculiar" to or "characteristic of" the employee's occupation.
What do the terms "AOE" and "COE" refer to in the context of workers' compensation? -
(answers)whether an accident Arose Out of Employment (AOE) and in the Course Of Employment (COE)
How do workers' compensation laws deal with occupational diseases? - (answers)Coverage extends to all
disease arising out of and in the course of employment. Most states do not provide compensation for
diseases that are not occupation related.
SOLUTIONS
According to the text, workers' compensation costs are equivalent to what percentage of a company's
payroll? - (answers)20%-30%
what is meant by the term "no fault" relative to workers' compensation? - (answers)The employer agrees
to pay for all injuries to employees regardless of whose fault, and in turn, the employee gives up their
right to sue the employer in relation to the on-the-job injury
What are the objectives of workers' compensation, as discussed in class? - (answers)1. Relieve public &
private charities of financial drains
2. Provides sure income and medical benefits to work-related accident victims, or income benefits to
their dependents. wage replacement is typically 1/3.
3. Provide a singe remedy and reduce court delays, cost, and workloads AOE personal injury litigation
4. Eliminate payment of fees to lawyers and witnesses, as well as, time-consuming trials and appeals
5. Encourage maximum employer interest in safety and rehabilitation through and appropriate
experience-rating mechanism
6. Promote frank study of causes of accidents, reducing preventable accidents, reducing preventable
accidents and human suffering
Be able to describe the types of economic losses experienced by employees and their families when a
serious accident results in compensable injury to the employee. - (answers)1. Loss of earnings &
Additional Expenses
2. If a worker dies because of a work-related injury or sickness, the survivors lose the income the worker
would have earned - less the amount spent on personal expenses - over the remainder of the individual's
working career and retirement years. Total and permanent disability cause even greater earning losses
then death because the worker must be maintained even though unable to work
3. The deceased or disabled worker often is unable to provide valuable household services that must
now be foregone or be taken over by someone else at additional cost.
4. society also loses the taxes that injured workers would have paid and the products or services they
would have produced.
, In most states, what is the income replacement ratio used by workers' compensation systems? -
(answers)66%
What are the major characteristics of compensation laws? - (answers)- Compensation laws can be
compulsory or elective. under an elective law, the employer may accept or reject the act. However, if an
employer rejects the act, it loses the three common law defenses. this means that in practice all the laws
can be considered "compulsory." A compulsory law requires each employer to accept its provisions and
provide for benefits specified. Most jurisdictions require employers to obtain insurance or to provide
financial ability to carry their own risk.
- Limitations on coverage - The uncertainty arises from the wide variety of permanent partial disability
cases that the schedules do not cover satisfactorily. Two factors usually prompt compensation litigation.
One is uncertainty about whether an accident AOE and in COE; the other is the extent of disability. Also,
it can be difficult to separate impairments that are work related from those that are not.
-Employers accepted, or were required to accept, responsibility for injuries AOE and in the COE without
regards to fault. In exchange, employees gave up the right right to sue employers for unlimited damages.
This is usually referred to as "Exclusive Remedy".
- There are two concepts that are broadening the exclusive remedy provision: 1. the expansion of the
dual capacity doctrine 2. the intentional tort exception
- Although workers' compensation laws initially had no specific provisions for occupational disease, all
sates now recognize responsibility for them. Coverage extends to all diseases AOE and in the COE. Most
states do not provide compensation for a disease that is an "ordinary disease of life" or, that is not
"peculiar" to or "characteristic of" the employee's occupation.
What do the terms "AOE" and "COE" refer to in the context of workers' compensation? -
(answers)whether an accident Arose Out of Employment (AOE) and in the Course Of Employment (COE)
How do workers' compensation laws deal with occupational diseases? - (answers)Coverage extends to all
disease arising out of and in the course of employment. Most states do not provide compensation for
diseases that are not occupation related.
