Insurance Giant Accused of Dodging Injury Payouts

Ascar Ashleen

Freelance Writer

January 28, 2026
11:05 am

A Danish ambulance worker waited over 11 years to receive compensation after a near-fatal work accident, as insurance giant Tryg Forsikring repeatedly challenged government rulings and threatened to extend the case by four more years through legal action. Lawyers warn that insurance companies are increasingly using all available means to avoid paying large compensation amounts in work injury cases, representing a troubling shift in the industry.

An 11-Year Battle for Compensation

Erik Schack spent 11 years and 23 days fighting for compensation after a tragic work accident that nearly killed him. As an ambulance leader, he responded to a rescue operation on a fishing boat in Strandby Harbor on August 4, 2014, where toxic gas had already claimed several lives.

During the rescue, Schack was exposed to poisonous fumes that caused his body to react violently. He vomited, experienced diarrhea, and fainted. Doctors later discovered that the severe vomiting had caused a tear in his carotid artery, leading to dangerous pressure in his brain and a subsequent blood clot. The situation was so critical that surgeons had to remove half of his skull plate to accommodate his swollen brain.

For the first seven years, authorities worked to determine whether his brain injury qualified as a work-related accident. The Western High Court ruled that it was. Authorities subsequently assessed that Schack suffered a 90 percent loss of earning capacity due to the accident.

Tryg Refuses to Accept Court Ruling

The next four years revolved around Tryg Forsikring refusing to acknowledge the high court decision. Instead, the company sued Ankestyrelsen, Denmark’s central appeals board for social security cases. The trial was scheduled for March and would potentially drag the case out for another four years.

Finally, in 2025, a settlement was reached. Schack expressed his disappointment that the company did not honor a high court ruling and that he had to wait more than 11 years for resolution.

According to Ankestyrelsen, Tryg Forsikring is now among the companies that most frequently sue the agency in work injury cases. In 2018, Tryg took legal action against Ankestyrelsen six times. By 2023, that number had jumped to 48, and in 2024 there were 38 cases where Tryg sued the appeals board. This represents a dramatic increase in legal challenges from the insurance company.

Lawyers Sound the Alarm

Lotte Ankjær, a lawyer specializing in compensation law, has noticed a significant shift in how insurance companies handle work injury claims. She has worked in this field for many years and has never seen anything like the current situation.

According to Ankjær, there has been a deterioration and commercialization in this area to an unprecedented degree. Companies are trying every possible means to avoid paying large compensation amounts. She describes herself as shocked by this development.

Karsten Høj, chairman of the Association for Compensation and Insurance Law, shares these concerns. He emphasizes that when a final judgment has been issued, the insurance company should naturally pay the compensation. Unfortunately, there are examples of companies choosing to drag cases out to avoid making payments.

The industry organization representing insurance companies disputes claims that insurers systematically try to avoid paying compensation. When a company continues a case, it is because they disagree with a decision or believe it was made on insufficient grounds, according to the organization.

A Life Changed Forever

The events of August 4, 2014, remain unforgettable for Erik Schack. He went to work one morning and woke up 19 days later in a hospital, unable to walk, talk, or use one hand. His life changed in an instant.

The long legal battle took a severe toll on Schack and his family. From the moment he fell into a coma until the settlement was signed, he describes the experience as exhausting and inhumane. The process has been draining both physically and mentally.

The Human Cost Behind the Numbers

For his daughter Caroline Schack, the case represents far more than financial compensation. It is about her father’s dignity. He went to work and came home a full year later after being in a coma, hospitalized, undergoing rehabilitation, and even living in a nursing home.

Between 2,000 and 3,000 serious work injuries with permanent loss of work capacity are recognized annually in Denmark. These cases involve significant injuries that trigger compensation through Denmark’s work injury insurance system. Insurance companies like Tryg are often involved in disputes about additional compensation in these cases.

Tryg’s Response and Financial Position

Tryg Forsikring declined to give an interview about this development but provided a written statement explaining its general practice. The company noted that it is not unusual for cases involving legal disagreement to end in settlement. This happens in two out of three of Tryg’s injury cases where there is a legal dispute.

The company stated that it is never interested in conducting and prolonging court cases if there is an opportunity to find a balanced solution that both parties can accept. Regarding this specific case, Tryg said it had worked to advance and conclude the matter since becoming involved in 2021, noting that the long case history demonstrates its complexity.

Tryg is Scandinavia’s largest insurance company. In 2024, the company posted a profit of 4.8 billion Danish kroner after tax. The company handles nearly 2 million claims annually, including work injuries, with payouts exceeding 26.2 billion kroner. This includes over 20,000 weather-related claims and 380,000 health and accident claims.

Despite the legal controversies, Tryg has achieved a customer satisfaction score of 82 in Scandinavia based on 1.5 million annual feedback responses. The company aims to reach 83 by 2027, with growth in products like health insurance.

Industry Practices Under Scrutiny

Insurance companies like Tryg often reject claims for additional disability compensation in work injury cases by citing a three-year statute of limitations under Danish law, plus an additional one-year extension period. This legal strategy allows insurers to avoid payments even when circumstances change or conditions worsen over time.

The combined ratio at Tryg improved to 80.3 percent in 2025 from 81.7 percent in 2024, with an insurance result of 7.945 billion kroner. This improvement stems from lower major and weather-related claims, which came in 442 million kroner under budget. These financial incentives provide context for understanding why companies might minimize payouts.

Work injury insurance premiums are adjusted annually based on wage indices, the number of earning capacity allowances, and average percentages. A 2 percent work environment fee on compensation payments finances prevention efforts, which affects insurance companies’ costs and pricing in work injury cases.