Washington State
House of Representatives
Office of Program Research
BILL
ANALYSIS
Labor & Workplace Standards Committee
HB 2372
Brief Description: Concerning workers' compensation benefits.
Sponsors: Representatives Salahuddin, Fosse, Berry, Reed, Leavitt, Doglio, Zahn, Scott, Obras and Pollet.
Brief Summary of Bill
  • Requires workers' compensation time loss benefits paid to an injured worker to include the total amount of the employer's prior monthly payment for healthcare benefits, rather than a partial percentage based on the worker's number of dependents. 
Hearing Date: 1/20/26
Staff: Kelly Leonard (786-7147).
Background:

Under the Industrial Insurance Act, a worker who is injured in the course of employment or experiencing an occupational disease is entitled to certain benefits.  A worker who is permanently or temporarily totally disabled—meaning incapacitated from performing any gainful occupation—is entitled to compensatory time loss benefits based on a percentage of the worker's monthly wages, which ranges from 60 percent to 75 percent based on the worker’s number of dependents.

 

Unless an employer continues paying for an injured worker’s healthcare benefits, the amount of the employer's prior monthly payment for those benefits is included in the worker’s wages for purposes of calculating time loss benefits.  Therefore, a worker receives a percentage of the amount of the employer’s prior monthly payment for those benefits.
Summary of Bill:

For injuries and disease manifestations occurring on or after July, 1, 2026, a worker who is eligible for time loss benefits must receive 100 percent of the employer's previous monthly payment for healthcare benefits, unless the employer continues paying for those benefits. 
Appropriation: None.
Fiscal Note: Requested on January 12, 2026.
Effective Date: The bill takes effect on July 1, 2026.