Chesapeake Employers Insurance, formally IWIF, is the largest workers’ compensation insurance company in Maryland.  They are the only “guaranteed” comp carrier in Maryland, meaning if an employer can’t get coverage anywhere else, they can get it with Chesapeake.  If you are an injured employee and you need to deal with Chesapeake, you must understand one crucial fact:  Their interests are different than yours.

Chesapeake is an insurance company.  The need to keep payouts on behalf of injured workers to a minimum.  As an injured worker, you need to get as much as you can.  This isn’t to manipulate the system – it’s because you are injured.  You suffered an injury because of what you were doing on behalf of a company.  They have insurance.  Don’t suffer more than you need to.

Because their interests are different than yours, we recommend getting a workers’ comp lawyer to help you through the process.  You can speak to us at no cost and no obligation.  If you don’t think you need us after we talk, no problem.  Take the new knowledge away for free.

History of Transition from IWIF –

May 22, 2012:  Chesapeake Employers’ Insurance Company will formally begin in October of 2013.  IWIF is now Chesapeake Employers’ Insurance Co.

Most employers, many employees, and all workers’ comp lawyers in Maryland know IWIF.  The leading workers’ compensation insurance company, IWIF insures almost a quarter of all insured MD workers.  It is an organization that has the backing of the State of Maryland.  As of 1988, IWIF is an independent state agency.  That said, according to IWIF, they have never used any taxpayer dollars.

(If you are inadvertently on this page seeking info about IWIF comp claims, please visit the IWIF claims page.)

Presently, legislation has been proposed to move IWIF towards privatization and rename the organization Chesapeake Employers’ Insurance Company.  Maryland Senate bill 745 moves the organization to more of a private company.  Some suggested IWIF had advantages over the private insurance market, and those advantages may have been unfair and should be eliminated. Chesapeake Employers’ Insurance would still be not for profit.  IWIF never denies any employer coverage based on claims history or the size of their company.  IWIF employs 375 people.  There is no immediate indication as to whether either of those facts will change.

The insurance industry is opposing the legislation, however.  The American Insurance Association says Chesapeake Employers would not truly be private, and would clearly maintain advantages.  They state they would support bonafide privatization, but this current Chesapeake proposal is not that.  It strikes me that ultimately, someone is going to need to be the insurer of last resort.  Whether it’s IWIF or Chesapeake Employers’ Insurance Co., there has to be workers’ comp insurance accessibility.  You can read more about the American Insurance Association’s position here.  Popham and Andryszak are the lobbyists for the AIA.  No doubt they are hard at work behind the scenes trying to prevent this legislation.

According to the Baltimore Business Journal, current IWIF CEO Thomas J. Phelan believes the measure will pass the legislature this year.

Part of the issue, without question, is money.  Shocked?  Of course you are not.  If IWIF becomes the Chesapeake Employers’ Insurance Company, IWIF and Phelan will keep the State of Maryland at bay (no pun intended) as they seek to use IWIF/Chesapeake funds to balance MD’s budget.



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