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House Study Bill 11

Bill Text

PAG LIN
  1  1    Section 1.  Section 85.28, Code 2003, is amended to read as
  1  2 follows:
  1  3    85.28  BURIAL EXPENSE.
  1  4    When death ensues from the injury, the employer shall pay
  1  5 the reasonable expenses of burial of such employee, not to
  1  6 exceed five seven thousand five hundred dollars, which shall
  1  7 be in addition to other compensation or any other benefit
  1  8 provided for in this chapter.
  1  9    Sec. 2.  Section 85.38, subsection 2, unnumbered paragraph
  1 10 2, Code 2003, is amended to read as follows:
  1 11    If an employer denies liability under this chapter, chapter
  1 12 85A, or chapter 85B, for payment for any medical services
  1 13 received requested or weekly compensation claimed by an
  1 14 employee with a disability, and the employee is a beneficiary
  1 15 under either an individual or group plan for nonoccupational
  1 16 illness, injury, or disability, the nonoccupational plan shall
  1 17 not deny payment for the medical services received of benefits
  1 18 under the plan on the basis that the employer's liability for
  1 19 the medical services under this chapter, chapter 85A, or
  1 20 chapter 85B is unresolved.
  1 21    Sec. 3.  Section 85.48, Code 2003, is amended to read as
  1 22 follows:
  1 23    85.48  PARTIAL COMMUTATION.
  1 24    When partial commutation is ordered, the workers'
  1 25 compensation commissioner shall fix the lump sum to be paid at
  1 26 an amount which will equal the future payments for the period
  1 27 commuted, capitalized at their present value upon the basis of
  1 28 interest at the rate provided in section 535.3 for court
  1 29 judgments and decrees, with provisions.  Provisions shall be
  1 30 made for the payment of weekly compensation not included in
  1 31 the commutation, subject to the law applicable to such unpaid
  1 32 weekly payments; with all remaining payments, if any, to be
  1 33 paid at over the same period of time as though the commutation
  1 34 had not been made by either eliminating weekly payments from
  1 35 the first or last part of the payment period or by a pro rata
  2  1 reduction in the weekly benefit amount over the entire payment
  2  2 period.
  2  3    Sec. 4.  Section 85.65A, subsection 5, Code 2003, is
  2  4 amended to read as follows:
  2  5    5.  This section is repealed July 1, 2003 2008.
  2  6    Sec. 5.  Section 86.42, Code 2003, is amended to read as
  2  7 follows:
  2  8    86.42  JUDGMENT BY DISTRICT COURT ON AWARD.
  2  9    Any party in interest may present a certified file-stamped
  2 10 copy of an order or decision of the commissioner, from which a
  2 11 timely petition for judicial review has not been filed or if
  2 12 judicial review has been filed, which has not had execution or
  2 13 enforcement stayed as provided in section 17A.19, subsection
  2 14 5, or an order or decision of a deputy commissioner from which
  2 15 a timely appeal has not been taken within the agency and which
  2 16 has become final by the passage of time as provided by rule
  2 17 and section 17A.15, or an agreement for settlement approved by
  2 18 the commissioner, and all papers in connection therewith, to
  2 19 the district court where judicial review of the agency action
  2 20 may be commenced.  The court shall render a decree or judgment
  2 21 and cause the clerk to notify the parties.  The decree or
  2 22 judgment, in the absence of a petition for judicial review or
  2 23 if judicial review has been commenced, in the absence of a
  2 24 stay of execution or enforcement of the decision or order of
  2 25 the workers' compensation commissioner, or in the absence of
  2 26 an act of any party which prevents a decision of a deputy
  2 27 workers' compensation commissioner from becoming final, has
  2 28 the same effect and in all proceedings in relation thereto is
  2 29 the same as though rendered in a suit duly heard and
  2 30 determined by the court.
  2 31    Sec. 6.  Section 86.43, Code 2003, is amended to read as
  2 32 follows:
  2 33    86.43  JUDGMENT – MODIFICATION OF.
  2 34    Upon the presentation to the court of a certified file-
  2 35 stamped copy of a decision of the workers' compensation
  3  1 commissioner, ending, diminishing, or increasing the
  3  2 compensation under the provisions of this chapter, the court
  3  3 shall revoke or modify the decree or judgment to conform to
  3  4 such decision.
  3  5    Sec. 7.  Section 87.8, Code 2003, is amended to read as
  3  6 follows:
  3  7    87.8  INSOLVENCY CLAUSE PROHIBITED.
  3  8    No A policy of insurance issued under this chapter shall
  3  9 not contain any provision relieving the insurer from payment
  3 10 if the insured becomes insolvent or discharged in bankruptcy
  3 11 during the period that the policy is in operation, or the
  3 12 compensation, or any part of it, is unpaid notwithstanding any
  3 13 deductible that is provided for in the policy.
  3 14    Sec. 8.  EFFECTIVE DATE.  The amendment to section 85.65A,
  3 15 subsection 5, in this Act, being deemed of immediate
  3 16 importance, takes effect upon enactment.  
  3 17                           EXPLANATION
  3 18    This bill amends several provisions relating to workers'
  3 19 compensation law in Iowa.  Code section 85.28 is amended to
  3 20 raise the maximum amount an employer is required to pay for
  3 21 reasonable burial expenses of an employee from $5,000 to
  3 22 $7,500.
  3 23    Code section 85.38, subsection 2, is amended to provide
  3 24 that weekly wage replacement benefits for an injured worker
  3 25 will be treated the same as medical benefits so that if an
  3 26 employee has both group disability and workers' compensation
  3 27 coverage but the employer denies workers' compensation
  3 28 coverage, the group disability carrier will pay benefits to
  3 29 the injured employee until the workers' compensation liability
  3 30 is resolved without prejudicing the rights of either the
  3 31 employer or the employee.
  3 32    Code section 85.48 is amended to provide, in a partial
  3 33 commutation of benefits, an option to pay the claimant's
  3 34 remaining weekly payments either by eliminating weekly
  3 35 payments from the first or last part of the payment period or
  4  1 by reducing the weekly benefit amount on a pro rata basis over
  4  2 the entire payment period.
  4  3    The bill changes the repeal date of Code section 85.65A,
  4  4 which imposes a surcharge on employers for the second injury
  4  5 fund, from July 1, 2003, to July 1, 2008.  This amendment
  4  6 takes effect upon the bill's enactment.
  4  7    Code sections 86.42 and 86.43 are amended to provide that a
  4  8 party may present a file-stamped copy instead of a certified
  4  9 copy of an order or decision of the workers' compensation
  4 10 commissioner to the district court to obtain a judgment on an
  4 11 award of workers' compensation benefits.
  4 12    Code section 87.8 is amended to provide that if an employer
  4 13 becomes insolvent or is discharged in bankruptcy, the
  4 14 insurance carrier that issued the employer's workers'
  4 15 compensation policy is responsible for all liability to an
  4 16 injured employee pursuant to the insurance policy even if the
  4 17 policy contains a deductible.  
  4 18 LSB 1413HC 80
  4 19 av/pj/5
     

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