1. WCLA MCLE FY2008 Annual Report: Illinois Workers’ Compensation Commission & 2008 Annual Report: Workers’ Compensation Fraud Unit Friday August 7, 2009 10:30 AM to 11:30 AM WCLA Annual Golf Outing, Oakbrook, IL 1 hour general MCLE credit

2. FYO8 Annual Report IWCC “The perception of IL workers’ compensation costs is often different than the reality.”(2) “In FY08, the Insurance Compliance Unit collected $1.8 million in fines from 66 uninsured employers with 900 workers…”(2) 250,000 injuries/80,000 Form 45’s/60,000 cases (5) NCCI Advisory rate 1/1/09 3.5% increase (CPI 3.8) (8) 100,000 telephone calls per year (11) FY08 57,515 cases filed (40% Cook County; 5% Dupage) (13) SAWW $883.86 on 6/30/08 (14) 95,000 cases pending Arbitration, red-line decreased 13%(17) 3594 Arbitration decisions; 1777 Commission decisions (17)

3. FYO8 Annual Report IWCC Commission Review: Petitioner wins 24%; Respondent wins 27% (18) Months to issue Arbitration decision: 34 months from filing of Application? (18) Penalty cases: Arbitration, 10% of expedited and 2% regular; Commission, 5% expedited and 2% regular (20) Benefit cost rates 3% lower than national average; WC insurance rates 8% higher than national average despite wages 20% higher (22)

4. 2008 Annual Report Workers’ Compensation Fraud Unit 58 cases referred for prosecution (9) 2 Cook County convictions (12) Total fraud: $6,486,771; $4,333,405 or 2/3 Employer fraud (Exhibit F) Reasons for referrals (Exhibit H)