SB196 Summary

• Expands workers' compensation fraud crimes under Section 13A-11-124 to include coercing others to make false statements, presenting multiple claims for the same injury, fabricating or destroying documents, and seeking treatment for uninjured body parts, all classified as Class C felonies.

• Authorizes civil liability for persons or entities injured by fraudulent workers' compensation claims, entitling them to recover compensatory damages, court costs, and reasonable attorney's fees.

• Allows the Department of Labor to immediately terminate or deny benefits and forfeit all compensation rights upon determination that a claimant knowingly made false or misleading statements material to the claim.

• Requires repayment of fraudulently obtained benefits plus simple interest to the employer or carrier, or authorizes deduction from future benefit payments, with the Department issuing repayment orders.

• Becomes effective on the first day of the third month following passage and approval by the Governor.