SAIF Corp. v. Sprague

217 P.3d 644, 346 Or. 661, 2009 Ore. LEXIS 75
CourtOregon Supreme Court
DecidedAugust 27, 2009
DocketAgency 00-07404, 01-01561; CA A133701; SC S056541
StatusPublished
Cited by17 cases

This text of 217 P.3d 644 (SAIF Corp. v. Sprague) is published on Counsel Stack Legal Research, covering Oregon Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
SAIF Corp. v. Sprague, 217 P.3d 644, 346 Or. 661, 2009 Ore. LEXIS 75 (Or. 2009).

Opinion

*663 BALMER, J.

This workers’ compensation case requires us to review the statutory classifications for medical conditions and, in particular, to determine when an insurer is responsible for medical services necessary to treat those conditions. Claimant sustained a workplace knee injury in 1976 and received treatment for that injury. Nearly 25 years later, his knee had deteriorated to the point that a physician recommended knee replacement surgery. Before that surgery could be undertaken, however, claimant had to lose weight. Claimant’s doctor recommended gastric bypass surgery, without which the knee replacement surgery would not be effective, and that surgery was performed in 2000. The insurer rejected the claim for the gastric bypass surgery. The Court of Appeals, in a series of opinions, eventually concluded that the surgery was compensable. On review, we affirm the decision of the Court of Appeals, although our analysis of the controlling statutes differs in some respects.

STATUTORY OVERVIEW

A brief overview will be helpful in understanding the key statutory terms. ORS 656.245(l)(a), which we quote in full below, makes employers (or their insurers) responsible, in certain circumstances, for “medical services” necessary to treat “conditions” that result from compensable workplace injuries. Whether the expenses for those medical services are compensable depends, in part, on characterizing the medical conditions. Roughly speaking, the workers’ compensation statutes divide medical conditions into four categories: (1) ordinary conditions; (2) preexisting conditions; (3) consequential conditions; and (4) combined conditions.

ORS 656.245(l)(a) prescribes generally when expenses for medical services are compensable and deals with each of those conditions:

“For every compensable injury, the insurer or the self-insured employer shall cause to be provided medical services for conditions caused in material part by the injury for such period as the nature of the injury or the process of the recovery requires, subject to the limitations in ORS *664 656.225, [which deals with preexisting conditions,] including such medical services as may be required after a determination of permanent disability. In addition, for consequential and combined conditions described in ORS 656.005(7), the insurer or the self-insured employer shall cause to be provided only those medical services directed to medical conditions caused in major part by the injury.”

Thus, insurers generally are responsible for medical services “for” conditions — that is, ordinary “conditions” — that are “caused in material part” by compensable workplace injuries. However, the statute sets different standards for compensa-bility of the other three subsets of “conditions” described above — preexisting, consequential, and combined.

As noted, ORS 656.245(l)(a) incorporates the limitations on compensability of preexisting conditions — that is, conditions that preexisted the workplace injury 1 — that are provided in ORS 656.225. Under ORS 656.225, medical services directed at treating only a preexisting condition generally are not compensable:

*665 “In accepted injury or occupational disease claims, * * * medical services solely directed to a worker’s preexisting condition are not compensable unless:
“(1) In occupational disease or injury claims other than those involving a preexisting mental disorder, work conditions or events constitute the major contributing cause of a pathological worsening of the preexisting condition.
“(2) In occupational disease or injury claims involving a preexisting mental disorder, work conditions or events constitute the major contributing cause of an actual worsening of the preexisting condition and not just of its symptoms.
“(3) In medical service claims, the medical service is prescribed to treat a change in the preexisting condition as specified in subsection (1) or (2) of this section, and not merely as an incident to the treatment of a compensable injury or occupational disease.”

Similarly, ORS 656.245(l)(a) incorporates the limitations related to consequential and combined conditions provided in another statute, ORS 656.005(7)(a). ORS 656.005(7)(a) both defines “compensable injury” and provides limits on the compensability of consequential and combined conditions:

“A ‘compensable injury’ is an accidental injury, or accidental injury to prosthetic appliances, arising out of and in the course of employment requiring medical services or resulting in disability or death; an injury is accidental if the result is an accident, whether or not due to accidental means, if it is established by medical evidence supported by objective findings, subject to the following limitations:
“(A) No injury or disease is compensable as a consequence of a compensable injury unless the compensable injury is the major contributing cause of the consequential condition.
“(B) If an otherwise compensable injury combines at any time with a preexisting condition to cause or prolong disability or a need for treatment, the combined condition is compensable only if, so long as and to the extent that the otherwise compensable injury is the major contributing cause of the disability of the combined condition or the *666 major contributing cause of the need for treatment of the combined condition.”

(Emphases added.) ORS 656.245(1)(a) incorporates those limits into the compensability of medical services claims by providing that, in the case of consequential and combined conditions, the insurer is responsible for only those medical services that are “directed to medical conditions caused in major part by the [compensable] injury.”

FACTS

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Slater v. SAIF Corp.
400 P.3d 969 (Court of Appeals of Oregon, 2017)
Brown v. SAIF
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Brown v. SAIF Corp.
391 P.3d 773 (Oregon Supreme Court, 2017)
Frazer v. Enterprise Rent-A-Car Co.
374 P.3d 1003 (Court of Appeals of Oregon, 2016)
Weiker v. Douglas County School District No. 4
350 P.3d 569 (Court of Appeals of Oregon, 2015)
Vukasin v. Liberty Northwest Insurance
349 P.3d 636 (Court of Appeals of Oregon, 2015)
Arms v. SAIF Corp.
343 P.3d 659 (Court of Appeals of Oregon, 2015)
Brown v. SAIF Corp.
325 P.3d 834 (Court of Appeals of Oregon, 2014)
SAIF Corp. v. Swartz
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Hopkins v. SAIF Corp.
245 P.3d 90 (Oregon Supreme Court, 2010)

Cite This Page — Counsel Stack

Bluebook (online)
217 P.3d 644, 346 Or. 661, 2009 Ore. LEXIS 75, Counsel Stack Legal Research, https://law.counselstack.com/opinion/saif-corp-v-sprague-or-2009.