Businesses brace for higher workers’ comp costs

unprecedented as the suggested increase — coming in the middle of a policy year that began April 1.

“We looked at what have today and looked at what we had in 1996,” Mr. Pedrick said. “If the evaluations not in place anymore, what do we revert to?”

In its filing, the bureau told insurance regulators that the evaluations had a positive effect on the system. They “significantly reduced uncertainty for the injured worker, the employer and the employer’s insurer regarding the length of time and the costs of workplace injuries.”

Business groups seized upon the bureau’s proposed hike to criticize the ruling and push state lawmakers to take immediate action.

Kevin Shivers, executive state director of the National Federation of Independent Business, which represents 14,000 employers in Pennsylvania, said the years before the evaluations were defined by “runaway litigation,” soaring medical claims and insurers threatening to leave the state.

“It’s disappointing that an activist state court would strike a 20-year-old law that has stabilized workers compensation insurance rates in Pennsylvania,” Mr. Shivers said.

Lawmakers are scrambling to find a solution before higher rates would be put into place.

Last week, Rep. Rob Kauffman, R-Franklin, and Rep. Garth Everett, R-Lycoming, sent a memo to colleagues about the proposed cost increase and their plans to introduce a bill in September.

The legislation, according to the memo, would repeal the part of the law invalidated by the court ruling and pass language that legally authorizes physicians to use the AMA guidelines.

“These worker compensation reforms have been in place for more than 20 years and have worked as intended,” the representa-