Dr. Carol Heusser

The applicant was injured in a motor vehicle accident and received statutory accident benefits.

The insurer terminated her income replacement benefits, prompting the applicant to apply for arbitration.

Shortly before the hearing, the insurer reinstated the benefits and paid the arrears with interest.

The arbitration proceeded solely on the issue of whether the applicant was entitled to a special award under s. 282(10) of the Insurance Act.

The arbitrator found that the insurer acted unreasonably and engaged in flagrant misconduct by terminating benefits without meaningful medical evidence, ignoring overwhelming medical reports from its own assessors confirming the applicant's severe depression and disability, and improperly deducting collateral benefits.

The arbitrator awarded the maximum special award of 50% of the withheld benefits, amounting to $61,829.52.