Senate Committee Substitute

SCS/SBs 1 & 130 - This act revises the workers' compensation law.

ACCIDENT AND INJURY - The act modifies the definition of "accident" to include only events that are "an unexpected traumatic event or unusual strain identifiable by time and place of occurrence producing at the time objective systems of an injury, caused by a specific event during a single work shift". Modifies the definition of "injury" by limiting the definition to only allow compensation if the accident was the prevailing factor in causing the condition. Limits benefits for pre-existing conditions in cases where a work-related injury causes increased permanent disability and reduces compensation by the amount of permanent partial disability that was pre-existing. Requires the terms "injury", "personal injury", "permanent partial disability" and "permanent total disability" be demonstrated by "objective relevant medical findings". Exempts from coverage injuries from unknown causes and personal health conditions that manifest themselves at work when an accident is not the prevailing factor in the need for medical treatment. Deterioration from normal activities of day-to-day living is not compensable. Prohibits accidents which are sustained in route to work from being compensable.

EMPLOYER LIABILITY - Any person who contracts to have work done as part of the usual course of business on their premises shall be liable to the contractor, it's subcontractors and employees for death or injury which occurs on the premises. If the erection of improvements, demolition, alteration or repair of the premises is being provided by an independent contractor, the independent contractor shall be deemed the employer of the subcontractors and employees where the principle contractor is on the premises and doing work. The immediate contractor or subcontractor shall have primary liability as an employer of the employees of his subcontractor. A right to contribution is available for any secondarily liable parties. The provisions of this section (section 287.040 RSMo.) shall not apply to for-hire motor carriers.

COMPENSABILITY - Occupational disease is only compensable if the occupational exposure was the prevailing factor in causing the condition. Eliminates the actual knowledge requirement for reduction of compensation and death benefits where an injury is caused by the willful failure the employee to use employer provided safety devises. Increases the penalty when violation of drug and alcohol rules are involved, by reducing benefits by 50 percent, it also requires that intoxication at or above the legal blood level shall give rise to a rebuttable presumption that the voluntary use of alcohol was the proximate cause of injury.

STATUTE OF LIMITATIONS - The act creates a three year statute of limitations for prosecution of any individual who knowingly files or aids another in filing fraudulent worker's compensation claims.

EMPLOYEE LEAVE FOR MEDICAL TREATMENT - An employer may allow or require an employee to use any of the employee's accumulated paid vacation, leave, personal leave, or medical or sick leave to attend medical treatment.

TRAVEL EXPENSES FOR TREATMENT - The act states that when an employee is required to submit to medical examinations or necessary medical treatment at a place outside of the local or metropolitan area from the principal place of business the employer or its insurer shall advance or reimburse the employee for all necessary and reasonable expenses.

VOCATIONAL TESTING AND ASSESSMENT - The act provides that an employee must submit to appropriate vocational testing and a vocational rehabilitation assessment required by an employer or insurer.

SUBROGATION LIENS - The act grants an employer a subrogation lien when a third person is liable for the death of an employee and eliminates the procedure for situations where no comparative fault can be found.

DISQUALIFICATION FOR RECEIPT OF UNEMPLOYMENT COMPENSATION OR POST INJURY MISCONDUCT - The act disqualifies an employee from receiving temporary total disability during any period of time in which the claimant applies and receives unemployment compensation. Any employee who is terminated from post injury employment based upon post injury misconduct shall be ineligible to receive either temporary total disability or temporary partial disability benefits.

RETIREMENT BENEFITS - The amount of unemployment compensation benefits which an employee may receive shall be reduced by the weekly equivalent amount of the total amount of retirement or social security benefits received by, or attributable to, an employee.

CALCULATION OF BENEFIT AWARD - Weekly benefit amount is based on the percentage of disability, which provides the corresponding percentage of weekly earnings awarded.

COMPENSATION FOR HEARING LOSS - Loss of hearing of twenty-six decibels or less shall not constitute any compensable hearing disability and loss of hearing average ninety-two decibels shall constitute total or one hundred percent compensable hearing loss.

ACCIDENT REPORTING - The act requires every employer or his insurer in this state file with the division a full and complete report of every injury or death to any employee within thirty days from the date of injury or death.

VOLUNTARY SETTLEMENT AGREEMENTS - The act allows parties to enter into voluntary agreements to settle claims and states that approval shall be granted as long as the settlement is not the result of undue influence or fraud.

NOTICE OF REPETITIVE TRAUMA CASE - The act requires written notice to an employer as soon as practicable before proceedings are maintained for a repetitive trauma case.

ADMINISTRATIVE LAW JUDGES - The act prohibits administrative law judges from having a campaign committee.

SECOND INJURY FUND - Beginning October 31, 2005,requires the director of the division of workers' compensation to estimate the amount of benefits payable for each year and calculate the total amount of annual surcharge to be imposed upon all workers' compensation policyholders and self-insured for the following calendar year.

STANDARD OF REVIEW - The act imposes an impartial standard of review for cases arising under this chapter, rather than a liberal construction that exists under current law.

CLAIMS AGAINST INSOLVENT SELF-INSURED PARTIES - The act requires claimant to file a claim with the appropriate bankruptcy court prior to the time division of workers' compensation attaches jurisdiction.

JASON ZAMKUS


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