New Jersey Employer Learns Hard Lesson in Failing to Have Worker’s Compensation Insurance
By Michael Gorny, Esq., A New Jersey Workers' Compensation Lawyer
New Jersey law requires that nearly all employer’s carry some sort of worker’s compensation insurance for the protection of their employees. It is not optional, as the law requires all employees to be covered by their employer in case of a work related injury. Failure to maintain an adequate policy can result in severe civil penalties, fines, or even criminal prosecution.
An employer in New Jersey learned a very hard lesson, after the arrest of the two principal owners for failing to carry proper insurance. In addition, they lied about how many employees their company employed in order to pay a significantly cheaper insurance policy. Jenny and Andres Minaya, owners of Olympus Management Services, AM Professional Services, and Atlantis Personnel, are now facing charges of first-degree financial facilitation of criminal activity, second-degree insurance fraud and filing a false return. These former business owners now face up to 20 years in prison for their actions.
While not common, workers who are injured on the job sometimes find out that their employers do not have the insurance coverage to provide them with medical treatment and lost income benefits they are entitled to by New Jersey state law. Sometimes these employers try to sweep their actions under the rug and pay off their injured workers so as to avoid the consequences of not having insurance. Other times, the worker has no choice but to file a claim with the State’s uninsured program. In either scenario, any worker who is injured on the job should consult with an attorney with knowledge of New Jersey’s unique workers’ compensation system, to make sure their rights are protected immediately.