SB 1089
Creates new provisions relating to the use of third party administrator during workers' compensation proceedings
LR Number:
Last Action:
5/1/2018 - SCS Voted Do Pass S Small Business and Industry Committee (6799S.02C)
Journal Page:
Calendar Position:
Effective Date:
August 28, 2018

Current Bill Summary

SCS/SB 1089 - This act modifies the applicability of the priority schedule for payment of liabilities of the Second Injury Fund (SIF). Specifically, the act allows for the payment from the SIF of the following SIF liabilities prior to any liability set forth in the priority schedule:

• All death benefits incurred relating to claims for deaths occurring prior to January 1, 2014, consistent with a temporary or final award; and

• Ongoing medical expenses, but not past medical expenses, relating to claims for injuries occurring prior to January 1, 2014, consistent with a temporary or final award which includes future medical benefits.

This act additionally permits the Division of Workers' Compensation to call the security of a group self-insured employer or public sector individual employer if they are deemed insolvent, are determined to be insolvent, file for bankruptcy, or fail to pay any obligations owed under the workers' compensation laws. Furthermore, the Division is permitted to retain a third-party administrator for the purpose of paying any compensation benefits owed to an injured employee.

This act is substantially similar to HB 2672 (2018).