S-1360.1  _______________________________________________

                         SENATE BILL 5884

          _______________________________________________

State of Washington      56th Legislature     1999 Regular Session

By Senators Hochstatter, Morton, Honeyford, Deccio, West and Oke

Read first time 02/15/1999.  Referred to Committee on Labor & Workforce Development.

Providing employers with a choice of carriers from whom to purchase workers' compensation insurance.

    AN ACT Relating to workers' compensation insurance; adding a new section to chapter 51.04 RCW; and creating new sections.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION. Sec. 1.  The purpose of this act is to provide all employers in Washington state a choice of carriers from whom to purchase workers' compensation insurance; to provide employers and their employees the benefits of a competitive system; to provide workers the benefits of safety systems developed by private enterprise, as well as those provided by government; to provide private industry in Washington state the opportunity to do business with government regulation; to eliminate a government monopoly to small employers; and to increase the operating skills of Washington's government run workers' compensation industry by introducing competition into the business of workers' compensation insurance.

NEW SECTION. Sec. 2.  A new section is added to chapter 51.04 RCW to read as follows:

    Effective January 1, 2001, employers in this state may purchase workers' compensation insurance, and related coverage, from an insurer holding a certificate of authority under Title 48 RCW and certified by the department of labor and industries under this title.

NEW SECTION. Sec. 3.  (1) An implementing committee shall develop legislation for implementing this act and report its recommendations to the legislature by January 1, 2000.

    (2) The committee consists of the following:

    (a) Two members of the senate, one from each major caucus to be appointed by the lieutenant governor;

    (b) Two members of the house of representatives, one from each major caucus to be appointed by the co-speakers of the house of representatives;

    (c) A representative of employers; a representative of workers; a representative of the insurance industry; a representative of the Washington state bar association; a representative of the Washington state medical association, each of whom shall be chosen by a majority vote of the legislative members.

    (3) Each committee member has one vote.

    (4) The committee may add up to three members ex officio, who have the right to speak and make motions, but have no vote.

    (5) The committee must hire staff and counsel to carry out its mission.

    (6) The commission members shall receive no compensation.  Legislators shall be reimbursed for their travel expenses as provided in RCW 44.04.120.  Other members of the commission shall be reimbursed for travel expenses as provided in RCW 43.03.050 and 43.03.060.

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