WSR 10-06-083

PERMANENT RULES

DEPARTMENT OF

LABOR AND INDUSTRIES

[ Filed March 1, 2010, 10:13 a.m. , effective April 1, 2010 ]


Effective Date of Rule: Thirty-one days after filing.

Purpose: The purpose of this rule is to clarify the director's discretion for incurred losses on claims with vocational plans. RCW 51.32.0991 provides for a reduction in incurred losses at the director's discretion, if a worker with a vocational plan had a prior vocational plan approved in 2008 or later, and the worker was performing in medically restricted activities when injured. The statute expires June 30, 2013. The rule clarifies when the director's discretion can no longer be granted based on the sunset language of the statute and how it is applied to an accident year's incurred losses for experience rating purposes.

Citation of Existing Rules Affected by this Order: New section WAC 296-17-871 Director's discretion for incurred losses on claims with vocational plans.

Statutory Authority for Adoption: RCW 51.16.035, 51.16.100.

Other Authority: Title 51 RCW.

Adopted under notice filed as WSR 09-21-101 on October 20, 2009.

Number of Sections Adopted in Order to Comply with Federal Statute: New 0, Amended 0, Repealed 0; Federal Rules or Standards: New 0, Amended 0, Repealed 0; or Recently Enacted State Statutes: New 0, Amended 0, Repealed 0.

Number of Sections Adopted at Request of a Nongovernmental Entity: New 0, Amended 0, Repealed 0.

Number of Sections Adopted on the Agency's Own Initiative: New 0, Amended 0, Repealed 0.

Number of Sections Adopted in Order to Clarify, Streamline, or Reform Agency Procedures: New 1, Amended 0, Repealed 0.

Number of Sections Adopted Using Negotiated Rule Making: New 0, Amended 0, Repealed 0; Pilot Rule Making: New 0, Amended 0, Repealed 0; or Other Alternative Rule Making: New 1, Amended 0, Repealed 0.

Date Adopted: March 1, 2010.

Judy Schurke

Director

OTS-2701.1


NEW SECTION
WAC 296-17-871   Director's discretion for incurred losses on claims with vocational plans.   The incurred losses charged to an employer's experience rating can be reduced, at the director's discretion, for the vocational costs paid under RCW 51.32.099 (3)(d) for retraining and time-loss benefits paid for the retraining period. The director can reduce the incurred losses when:

The worker had a vocational plan approved after December 31, 2007, on a previous Washington state industrial insurance claim; and

The injury or occupational disease for the present claim resulted from employment and work-related activities beyond the worker's documented restrictions from the earlier claim.

The director's decision was made on or before June 30, 2013.

When a claim's incurred losses are reduced by this section, the reduced losses will be used for experience rating and retrospective rating calculations.

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Washington State Code Reviser's Office