As a nonsubscriber, how does my Company handle the common-law liability that it becomes subject to for on-the-job injuries?
There are three ways. First, the use of the ERISA Plan that comes with the CEI policy “federalizes” all claims and disputes about the payment or denial of benefits to employees. Second, the Mandatory Arbitration Agreement requires employees to arbitrate all of their disputes with the Company, including not only on-the-job injury claims, but also claims for all types of discrimination, retaliation, defamation, breach of contract, etc. Third, the CEI policy provides liability coverage for all employees’ on-the-job injury damages claims, including amounts for approved settlements, adverse judgments and arbitration awards of compensatory and even punitive damages, and defense attorneys’ fees.
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