Arkansas Workers' Compensation Reform

With the support of Governor Jim Guy Tucker, the Arkansas General Assembly passed one of the most comprehensive workers' compensation reform bills in the nation during the 1993 legislative session. This legislation makes workers' compensation insurance more affordable for employers. At the same time, the new reforms guarantee that employees will be compensated fairly and thoroughly for compensable injuries. Some of the provisions of the Arkansas Workers' Compensation Reform are as follows:

Narrowing Compensable Injuries

• Strict definition of "compensable injury"

• Defines injury as compensable if it is caused by a specific incident and is identifiable by time and place of occurrence

• For injuries that are not caused by a specific incident and are not identifiable by time and place of occurrence (i.e., carpal tunnel syndrome, hearing loss, etc.), the resultant condition is compensable only if the injury is a major cause of the disability or treatment

Employee's Accountability

• On the job use of alcohol or drugs creates a presumption that the injury was caused by the intoxication

• Eliminates injuries caused by horseplay and from recreational or social activities for the employee's personal pleasure

Other Key Measures

• Medical cost containment measures

• Fraud investigation unit

• Statewide safety program

• Optional deductible up to $2,500

• Pooling for small companies to buy more affordable workers' compensation insurance

For additional information or questions, contact the Arkansas Department of Economic Development at 501-682-7675.