Employers Could Be in for a Big Surprise with Retroactive OSHA Fine Increases

There will soon be a bigger price to pay for violating workplace safety – both for future fines and those currently being investigated by the U.S. Occupational Safety and Health Administration. That’s because employers will be facing larger retroactive OSHA fine increases. How’s this possible?

President Barack Obama signed The Bipartisan Budget Act of 2015 in November  of 2015. With the passage of this law, all federal agencies with civil monetary penalties covered by the statute, including OSHA, are required to update their existing fine structure.

Starting August 1, 2016, OSHA's civil penalty structure will sharply increase to reflect the change in the consumer price index. The last update was pre-1996. For the time being, the rate from October 2015 will be used. It should be noted, OSHA is now required by law to adjust its penalties annually based on this index.

The Bipartisan Budget Act of 2015 allows OSHA to increase maximum fines by up to 78%. Currently, the existing cap is $70,000 for “repeat and willful” violations. However, these fines could realistically increase to  $124,709. Plus, the top fines for “serious and other-than-serious” violations could escalate to $12,471 (from the current maximum of $7,000).

In 2016, OSHA will increase its workplace safety violation penalties for the first time in 25 years. The initial hike will raise fines by approximately 80 percent.

To educate contractors on how to avoid a citation, our Partners at Assurex Global developed an infographic, Avoid Temporary Worker OSHA Citations. By reading the infographic, you’ll learn about the

• Four employee classifications
• Four tests to determine employee type
• Seven methods for avoiding an OSHA audit

Read the full infographic to learn more.

If you own a car, a home, have people over to your house or participate in some type of carpool—You are a candidate.

Our go-to resource for digital forensics and cyber security, LIFARS, has provided the first Quarterly Update for 2016. In this edition, get answers to commonly asked questions about online security, including:

• Tools to ensure your personal information is not leaked
• Top software and browser extensions for protecting your privacy
• Tips for making internet searches safer
• Methods for making your social media accounts more private

Volume 1, Issue 1, Winter 2016

Developed in collaboration with our Partners at Assurex Global, we at Kapnick, are excited to announce the release of our first quarterly newsletter. The newsletter is intended to highlight issues that our high net worth clients routinely encounter. This edition focuses on the unique challenges posed by of the Internet of Things within a “smart home,” and more.

Zenefits, is a fast-growing San Francisco start-up that has attempted to shake up the health insurance brokerage industry–but just what are you getting for your money? With all the regulations, compliance issues and fines out there is this really the best choice for your company–is it worth the risk?

YOU CAN DOWNLOAD A COMPARISON CHART OF THE SERVICES THAT KAPNICK OFFERS VS ZENEFITS

Recently a series of reports by BuzzFeed News reported that the company was cutting corners as they grew. According to BuzzFeed, Zenefits employed unlicensed brokers to sell insurance to businesses, resulting in scrutiny from regulators and the undoing of many of its sales.

At Kapnick we provide long-term benefit solutions that create lasting value. We take a holistic approach to our consulting, which includes topics such as health care reform and specific areas such as plan design, implementation, administration and communication of benefits. Together, with input from our specialized team members and compliance attorneys–it all adds up to a well-crafted program to help you recruit and retain top talent.

We recently featured this ad in Crain's Detroit Business.

The ad talks about how KAPNICK strive® was developed to change the wellness marketplace in the belief that improving employee health and accountability are the ideal paths to reduce your group’s health and workers’ compensation costs.

It’s About Time

Do you know exactly what’s expected of you, as a policyholder, if you have a claim? There’s often a lot of “insurance language” to sort through, but most importantly realize that timing is critical.

Most insurance policies contain a section outlining the policyholder’s responsibilities in the event of a claim. With liability policies in particular, the policyholder’s duty requires that claims be reported immediately or as soon as possible after the policyholder has acknowledged a claim could be made.