Senate File 262 - Introduced SENATE FILE 262 BY WARD A BILL FOR An Act relating to the demonstration of a reasonable or 1 probable cause or excuse for the denial, delay in payment, 2 or termination of workers’ compensation benefits. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 1778SS (3) 84 av/nh

S.F. 262 Section 1. Section 86.13, subsection 4, paragraph c, 1 subparagraph (1), Code 2011, is amended to read as follows: 2 (1) The excuse was preceded by a reasonable investigation 3 and evaluation by the employer or insurance carrier into 4 whether benefits were owed to the employee. This criteria 5 shall be considered satisfied if the employer or insurance 6 carrier demonstrates that the employee failed to cooperate 7 with a reasonable investigation and evaluation by the employer 8 or insurance carrier into whether benefits were owed to the 9 employee. 10 EXPLANATION 11 This bill provides that an employer or insurance carrier 12 satisfies one of the criteria for establishing a reasonable or 13 probable cause or excuse for the denial, delay in payment, or 14 termination of workers’ compensation benefits and avoiding the 15 imposition of penalty benefits, if the employer or insurance 16 carrier demonstrates that the employee failed to cooperate 17 with a reasonable investigation and evaluation by the employer 18 or insurance carrier into whether benefits were owed to the 19 employee. 20 -1- LSB 1778SS (3) 84 av/nh 1/ 1