Teamsters 117 member Chris Shepard testifies in favor of SB 5463 to hold employers and their TPAs accountable.

Last year, Chris Shepard, a 20-year Teamster was badly injured at his job at the Safeway distribution center in Auburn. Since then, he's been struggling to get the medical treatment he needs. Chris's healthcare nightmare is one that plays out every day across our state and across the country. Workers like Chris get caught up in a cycle of byzantine bureaucracy, misinformation, and repeated claim denials.

The crux of the problem can be varied but in this case lies is the prevalence of unscrupulous Third-Party Administrators (TPAs) that are contracted by large employers to manage claims and costs. Companies like Safeway/Albertsons will self-insure, often to dodge their responsibilities under the state's workers' compensation program. It's a sick way for big business to deny or delay benefits to injured workers.

HOLDING BIG BUSINESS & THEIR TPAS ACCOUNTABLE

This year in Olympia, our Union has been fighting to pass a bill (SB 5463) that would hold both public and private sector employers and their Third-Party Administrators to the same “Good Faith and Fair Dealing” standard that insurers already follow in the public sector when negotiating settlements with injured workers.

It is shameful that big private corporations are not already required to negotiate fairly over workplace injuries. SB 5463 will require this standard; and if companies do not comply, they will lose the privilege to self-insure.

TEAMSTER TESTIFIES IN HOUSE HEARING

On Tuesday, Chris testified before the House Labor & Workplace Standards Committee to tell his story and speak out in support of the bill. You can read and view his testimony in full below:

Good morning members of the House Labor and Workplace Standards Committee. My name is Chris Shepard, I’m a member of Teamsters 117 at Safeway Distribution Center, where I have worked for 20 years.

I am here today to testify in support of SB 5463, as someone that has been subjected to unfair claim delays and denials.

My experience with Sedgwick has been extremely negative. I filed a claim on July 18 2024, and what followed was repeated denial and delay of treatment.

It's saddening to share that this TPA requires me to reply to them within 72 hours, but they purposely will only send me communication through snail mail that arrives after the deadline they gave. Both my doctor and I have fought hard to jump through their hoops and it’s just a constant game of appeals and roadblocks all aimed at denying the treatment I need and deserve.

On three different occasions I have received notice of denial letters from insurance. I have spent countless hours having to follow through with communication from my doctors to Sedgwick. My doctors say that I need physical therapy, and I get a letter stating that a peer review doctor from Sedwick has determined that it is not medically necessary. A doctor I have never seen or spoken to. Now my doctors say that I need surgery to repair the damage in my neck. Sedgwick disagrees.

To be real with you, this is causing me to live in pain. I have severe anxiety and depression. It has also greatly impacted my financial situation, which adds to my anxiety over this situation.

My story is just one example of the harm caused by Sedgwick. Without TPA accountability, many others will continue to suffer. This bill has already passed for employers in the public sector-- Please protect workers in the private sector too. Please pass SB 5463. Thank you.