Denver, CO – The Colorado Legislature recently approved an important insurance-related measure that will give the Division of Workers Compensation appropriate discretion in assessing audit fines. The Property Casualty Insurers Association of America (PCI) urges Gov. John Hickenlooper-D to sign the measure.
Colorado’s Labor Code requires employers to report to its insurance carrier and the Division of Workers Compensation (Division) within 10 days certain workplace injuries. Insurers have to step into the employers shoes and report to the Division within the same 10 days. HB 1033 gives the Division discretion in deciding whether or not to assess fines in an audit if the insurance carrier did not have notice of an injury in time to meet the 10-day reporting deadline.
“HB 1033 provides the regulator some flexibility and discretion for situations such as when employers report injuries to the carrier on the tenth day. If an employer reports late, the insurer does not have enough time to inform the Division,” said Campbell. “This bill ensures that bad actors are punished while providing balance and reasonableness for a carrier that was not informed by their client in time to meet the 10-day reporting requirement.”
HB 1033 was unanimously approved by both the House and Senate. Gov. Hickenlooper has 10-days upon receipt of the legislation to take action on these bills. If he does not sign the bills they will automatically become law after 10-days.
Source: PCI