Nonappropriated Fund Instrumentalities “NAFI” Workers Compensation

Nonappropriated Fund Instrumentalities Act
or “NAFI” Workers Compensation

Workers Compensation is Insurance purchased by an employer that pays the medical benefits and lost wages of employees who were injured or made sick on the job. The Longshore and Harbor Workers’ Compensation Act provides specific workers comp benefits to employees who are maritime workers, including most dock workers.

The Non-Appropriated Funds Instrumentalities Act – also called NAFI – extends Longshore workers compensation benefits to civilian employees of “non-appropriated fund instrumentalities”.

Who is a “non-appropriated fund employee”?

A “non-appropriated fund instrumentality” is a fancy term for the Army and Air Force Exchange Service, Navy Exchange Service Command, Marine Corps exchanges, or any other instrumentality of the United States under the jurisdiction of the armed forces which is conducted for the “comfort, pleasure, contentment, or physical or mental improvement” of members of the armed forces.

In other words, a civilian who works for a support organization or recreational service within the Department of Defense or a military department, works for a Non-Appropriated Funds Instrumentality. This includes Army, Navy, Air Force and Marine Corps exchanges, noncommissioned officers & enlisted clubs, and billeting fund operations anywhere in the world.  It also includes such “Special Services” facilities such as ships stores, bowling alleys, movie theaters, gyms, auto shops, etc.

It is important to note that the Non-Appropriated Funds Instrumentalities Act does not cover individuals employed outside of the United States who are not citizens or permanent residents of the United States or a United States territory. NAFI also does not cover military members on active duty, even if their injury occurred while off-duty. NAFI also does not cover “civil service’ employees.

Workers’ Comp Benefits under NAFI

Workers compensation benefits provided for injured workers under NAFI may include lost wages, medical, and death benefits. However, NAFI is a Federal law and so it is very different in many ways from typical State workers’ compensation law. The Non-Appropriated Funds Instrumentalities Act is administered by the United States Department of Labor Office of Workers’ Compensation Programs.

The injured employee’s disability will be classified as either: Temporary Total Disability, Permanent Total Disability, Temporary Partial Disability, or Permanent Partial Disability.

Medical benefits paid to include any and all medical, surgical & hospital treatments; necessary medical supplies and services; medications and medical device; and, the required costs of travel and mileage for obtaining medical care.

Death Benefits under NAFI Non-Appropriated Funds Act

Should a NAFI employee die due to work-related injuries, surviving spouses will receive half of the employee’s average weekly wage for the rest of his or her life. (Until the surviving spouse remarries.)

If the deceased NAFI employee had children, additional compensation is provided to them at the rate of 16 2/3 % of the employee’s average weekly wage.

If there is no spouse and the children are the sole survivors, 50 percent of the employee’s average weekly wage is paid with a 66 2/3 percent maximum if there are more than one child is entitled to benefits.

And, up to $3,000 of reasonable funeral expenses may be paid to an employee’s surviving family.

The Non-Appropriated Fund Instrumentalities Act is incredibly complicated. Timing is extremely important – as the employee, (or his/her survivors) must provide written notice of the injury or death within 30 days of the date of the injury. And the written claims for compensation must be filed with the Office of Worker’s Compensation Programs within one year.

Attorneys Specialized in Non-Appropriated Funds Instrumentalities Act

The attorneys at Cantrell Green help injured workers with qualified claims under the NAFI Act since the 1950s when it was enacted in. If you or a family member has been seriously injured while working for a non-appropriated funds instrumentality, please contact our experienced attorneys today. Our experienced Los Angeles NAFI Workers Compensation attorneys will help you understand your benefits and ensure that you receive the maximum compensation for which you qualify.


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