WEDNESDAY, AUGUST 6, 1980
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IF AN ACCIDENT WHICH CAUSED INJURY TO AN EMPLOYEE WAS DUE TO THE EMPLOYER'S NEGLIGENCE, THE EMPLOYER WAS LIABLE TO CIVIL DAMAGES.
+MANY EMPLOYERS SEEM TO THINK THAT ONCE THEY HAVE TAKEN OUT A WORKMEN'S COMPENSATION INSURANCE POLICY THEY ARE WELL PROTECTED AGAINST ANY CLAIM. IT IS NOT AS SIMPLE AS THEY MAY THINK.
+THEY MUST ENSURE THAT THE INSURANCE POLICY COVERS ALL THE LIABILITIES THEY WISH TO BE COVERED. A POLICY MAY SOMETIMES EXCLUDE CERTAIN LIABILITIES SUCH AS CIVIL DAMAGES, MEDICAL EXPENSES OR CERTAIN TYPES OF WORK.
+THE EMPLOYERS SHOULD THEREFORE EXAMINE THE INSURANCE POLICY CAREFULLY TO ASCERTAIN ITS COVERAGE,+ SAID MR YIU.
HE POINTED OUT THAT ON NOVEMBER 1 THIS YEAR THE PRINCIPAL ORDINANCE WOULD BE RENAMED EMPLOYEES' COMPENSATION ORDINANCE TO EXTEND THE STATUTORY BENEFITS TO ALL EMPLOYEES IRRESPECTIVE OF THE IR EARNINGS.
THE MAXIMUM COMPENSATION FOR PERMANENT TOTAL INCAPACITY WOULD BE INCREASED FROM $80 000 TO $192 000, AND FOR DEATH FROM $60 000 TO $168 000.
WITHIN THESE MAXIMUM LIMITS THE NEW LEVELS OF COMPENSATION WOULD ALSO BE GOVERNED BY THE AGE FACTOR AND COMPENSATION WOULD VARY WITH THE AGE GROUP TO WHICH THE INJURED EMPLOYEE BELONGED.
+THIS AGE FACTOR IS BASED ON THE CONCEPT THAT A YOUNG PERSON WILL SUFFER MORE LOSS OF FUTURE EARNING DUE TO INCAPACITY AS HE WILL HAVE A LONGER WORKING LIFE AND COMPENSATION IS FOR LOSS OF FUTURE EARNING, HE SAID.
OTHER IMPROVED BENEFITS INCLUDED INCREASING THE MAXIMUM COMPENSATION FOR CONSTANT ATTENTION ARISING FROM PERMANENT TOTAL INCAPACITY TO BE INCREASED FROM $32 000 TO $77 000, AND EMPLOYERS' LIABILITY FOR PAYING THE ESTIMATED COST OF REPAIR AND RENEWAL OF A PROSTHESIS OR SURGICAL APPLIANCE UP TO A PEROID OF 10 YEARS, SUBJECT TO A MAXIMUM OF $30 000.
+THE WORKMEN'S COMPENSATION (AMENDMENT) BILL WHICH BROUGHT ABOUT THESE CHANGES WAS PASSED BY THE LEGISLATIVE COUNCIL ON JULY 9, BUT THE PROVISIONS WHICH EMBODY THESE CHANGES WILL BE BROUGHT INTO OPERATION ON NOVEMBER 1.
+THIS TIME LAG IS NECESSARY IN ORDER TO GIVE THE INSURANCE INDUSTRY SUFFICIENT TIME TO MAKE THE NECESSARY ADJUSTMENTS TO THE PREMIUM RATES AND CURRENT INSURANCE POLICIES, PARTICULARLY AS DIFFERENTIAL AGE GROUPINGS ARE BEING INTRODUCED FOR THE FIRST TIME.
+THE OPERATIVE DATE WAS ANNOUNCED WITHOUT DELAY SO AS TO ENABLE THE INSURANCE COMPANIES AND THE EMPLOYERS TO ARRANGE FOR AMENDMENTS TO THE CURRENT INSURANCE POLICIES TO COVER THE ADDITIONAL LIABILITIES.
+ IN VIEW OF THE SUBSTANTIAL INCREASE IN COMPENSATION, AN UNINSURED SMALL EMPLOYER COULD EASILY GO BANKRUPT IF A SERIOUS ACCIDENT SHOULD HAPPEN TO HIS EMPLOYEE AT WORK, SAID MR YIU.
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