Bill would boost claimant benefits in third-party comp suits

Lawmakers in Arkansas are considering a bill that would increase the payout to injured workers to no less than one-half of the proceeds recovered in a third-party lawsuit related to a workers compensation claim.

H.B. 1955, sponsored by Rep. Jack Ladyman, R-Jonesboro, amends the state’s workers comp code to increase the claimant’s entitlement proceeds from the current share of no less than one-third of a settlement or judgment against a third party found responsible in a workplace accident or injury.

The bill, which cleared a House committee on Tuesday and has been sent to the full House for consideration, also adds “self-insured entity” to those — employers and insurer — who may recover funds in third-party lawsuits.