Insurance Co. of State of the Pennsylvania v. Moore
This appeal addresses whether a worker's compensation carrier is entitled to a proportionate reduction in supplemental income benefits (SIBs) equal to the percentage of reduction for impairment income benefits (IIBs) for a prior compensable injury under the Texas Workers’ Compensation Act. Appellant, Insurance Company of Pennsylvania, sought an 11/17ths reduction in Appellee John H. Moore's SIBs, matching the reduction applied to his IIBs for a previous back injury. A hearing officer granted the IIB reduction but denied the SIB reduction. The trial court upheld this decision. The appellate court reversed, holding that Texas Labor Code § 408.084 is unambiguous and mandates that both IIBs and SIBs be reduced by the same proportion when contribution is warranted for a prior injury. Consequently, Appellant is entitled to an 11/17ths reduction of Appellee’s supplemental income benefits.