Missouri Workers Compensation Update 4/10/25

Apr 10

(Read Time: Less Than 3 minutes)

Missouri Workers Compensation Update

The Second Injury Fund (SIF), as you know, protects Employers from PTD when a work-related injury combines with prior injuries and disabilities that the prevents the employee from going back to work. The Employer pays the PPD associated with the work injury, and the SIF pays the PTD portion of the claim. Employers are then shielded from PTD in situations where the work injury is not the sole cause of PTD.

However, In 2014, the Missouri Legislature amended the Workers Compensation Act to reduce the liability of the SIF by specifying that only certain types of prior injuries “qualify” to make the SIF liable for PTD. However, in reducing this liability, an enormous question was raised:

“How do we handle situations where a claimant has a work injury that combines with non-qualifying prior injuries, creating permanent total disability? Is the Employer liable for PTD when the SIF is not liable?”

The Plaintiff’s Bar has been arguing since 2014 that in the absence of SIF liability for PTD, the Employer is liable for the PTD when the work injury combines with non-qualifying pre-existing injuries to create permanent total disability. The Plaintiff’s Bar cites Federal Mutual Company v. Carpenter, 371 S.W.2d 955 (Mo. 1963), which states:

“In the absence of an apportionment statute or … [F]und legislation, the employer is liable for the entire disability resulting from a compensable injury and this of course may include lifelong medical payments.”

My response to this argument is always this – the Workers Comp Statute itself prevents the Employer from being held liable for PTD unless the work injury, in of itself, results in PTD. §287.220(2) states:

“In all cases of permanent disability…. if the employee is entitled to receive compensation on the basis of the combined disabilities, the employer at the time of the last injury shall be liable only for the degree or percentage of disability which would have resulted from the last injury had there been no preexisting disability.”

So, for the past 11 years the Workers Compensation Bar has been watching for the Court of Appeals to resolve this issue, and the Plaintiff’s Bar has been looking for help to find Employers liable for PTD in cases where the work injury itself does not result in PTD, but the clamant cannot work due a combination of the work injury and pre-existing disabilities (like diabetes, obesity, depression, etc.)

The case the Plaintiff’s Bar has been looking to for the answer to this question was Thomas v. Collins & Herman (attached). Here, claimant was PTD but there was a question as to whether the SIF would have PTD liability or whether the Employer would have liability for PTD. As the Court notes in the attached decision:

“Because the Commission found the Fund was not liable for PTD benefits, Claimant asserts Employer is liable under Federal Mutual…Claimant asserts when the employee is not entitled to compensation from the Fund under this section, the employer is responsible for the disability from the primary injury in combination with the prior disabilities”.

THE COURT REFUSED TO RULE DUE TO A TECHNICALITY

The Court of Appeals refused to decide the question of whether an Employer can be held liable for PTD when the work injury combines with prior injuries and disabilities - - because the claimant’s attorney did not first raise this issue with the Industrial Commission. This issue was first raised at the Court of Appeals, and the COA will not decide a legal issue unless that legal issue is raised first at the Industrial Commission level. As such, no answer to this question from the COA…yet.

WHAT’S NEXT

Since the COA punted on reaching a decision here, it is only a matter of time before the Plaintiff’s Bar preserves this legal point and properly brings this issue to the COA for a decision. This is an enormous issue, because a bad ruling from the Court of Appeals could make Missouri more like Illinois regarding liability for PTD. In Illinois, Employers always have the potential for PTD liability for almost any injury (even minor injuries) when claimant’s are over 55 years old or have significant prior disabilities.

When the Missouri COA eventually deals with this issue, I will bring it to your attention.

Please let me know if you have any questions or if you want to discuss this issue further.,