Heat Is Increasingly a Cause for Concern in Workers’ Comp Cases

By Rob Fischer
Policy Analyst, Casualty

(8/6/24)

As we roll into the dog days of summer, I am getting sick and tired of the heat in Washington, D.C. Thankfully, my job at the American Academy of Actuaries can be done from central air-cooled home and office spaces. Many do not share that same luxury, however, and for those who work outdoors, the summer is a time where heat injury is an added risk on the job.  

A recent paper, “Heat and Worker Health,” discusses the real effects at length. This paper received an honorable mention last year by the Academy for its Award for Research with the review panel noting that it was a well-developed analysis of an under-studied area. “Extreme heat negatively impacts cognition, learning, and task performance,” lead author Andrew Ireland and colleagues wrote. “With increasing global temperatures, workers may therefore be at increased risk of work-related injuries and illness.”   

One of those risks is heatstroke. The Centers for Disease Control and Prevention define heatstroke as a condition where the body’s temperature rises rapidly and is unable to cool itself down. Heatstroke can cause permanent disability or death when a person does not receive emergency treatment. Causes of heatstroke include outdoor work, indoor work with improper ventilation, strenuous physical labor, long exposure to the sun, protective non-breathable clothing, and working near fire and bright lights. In other words, the threat of heatstroke can apply to almost anyone and is increasingly likely as we face rising temperatures.  

Considering the wide impact that heatstroke can have, the question of public safety has been raised with policymakers—and they have taken some action. For example, the Occupational Safety and Health Administration has had a federal standard, called the General Duty Clause, since 1970.  The clause requires employers to “provide their employees with a place of employment that ‘is free from recognized hazards that are causing or likely to cause death or serious harm to employees.’” This is interpreted to include heat-related hazards that can cause death or serious harm and some states—including California, Oregon, Washington, Colorado, and Minnesota—have adopted state-specific standards to protect workers from heat.  

These federal and state standards are not the only protections for individuals. Workers’ compensation insurance laws, while different in every state, address heat injuries. For example, if a covered employee suffers a heat-related injury at work, they are likely eligible for workers’ compensation. Benefits can include a range of outcomes, including coverage of associated medical expenses or wage replacement payments. 

To reduce the risks of employees suffering from heat injuries on the job, as well reducing the potential number of claims filed, authorities say employers should consider offering plenty of breaks, providing shade or air conditioning when possible, and providing water or other beverages for their workers throughout the shift.  

In July, the Department of Labor published a proposed rule to address the threat of heat injury to workers. The proposed regulation would require employers to implement known best practices to reduce injuries (including offering water, breaks, shade, etc.), while also requiring trainings to identify heat injuries before they occur, injury prevention plans to evaluate and identify risks, and offer other protections for new workers who may not be used to working in such hot conditions.  

Many insurers across the country and across all lines of insurance are taking precautions to protect their business from the threats posed by climate change. Hotter days in the summer will likely lead to higher risks for workers in the years to come. Implementing strategies to reduce the risk of injuries will help keep people safe while also lowering costs on the insurance system.