Workers' Compensation (C) Task Force
Workers' Compensation (C) Task Force Page
Joint Executive (EX) / Plenary Committee Summary Report
Summer 2009 Meeting Summaries Index

The Workers Compensation (C) Task Force met June 14, 2009.

During the meeting, the Task Force:

• Received a first exposure draft titled “Implementation Commentary” prepared by the PEO Guidelines Implementation Paper Drafting Group of the Professional Employer Organization Model Law Working Group. The draft paper was developed to be of assistance to states in implementing the Guidelines for Regulations and Legislation on Workers’ Compensation Coverage for Professional Employer Organization Arrangements (NAIC PEO Guidelines). The paper is considered important due to the complexity of the NAIC PEO Guidelines, adopted in 2007, and due to the number of challenges regulators face today pertaining to PEO matters. Comments on the draft paper should be e-mailed to Bob Wake, chair (Robert.A.Wake@maine.gov) with copy to Bob Card (bcard@naic.org) by Sept. 17. It was announced that a thorough vetting of the draft paper is to be scheduled with the Professional Employer Organizations Model Law Working Group by or before the Fall National Meeting.

• Received a first exposure draft from the National Conference of Insurance Legislators (NCOIL) titled “Employee Misclassification Workers’ Compensation Coverage Model Act.” An NCOIL bulletin dated March 9 stated that NCOIL’s decision to draft the independent contractor model law responded in large part to an NAIC/IAIABC Joint Working Group review of workers’ compensation independent contractor issues that recommended clearer legal standards regarding independent contractor status. The Workers’ Compensation Task Force asked that comments for NCOIL on its exposure draft be e-mailed to Mr. Card. The NCOIL Workers’ Compensation Insurance Committee will first discuss the draft and any comments received on July 10 during the NCOIL Summer Meeting in Philadelphia.

• Received an update from NAIC staff on the proposed federal bill, H.R. 635, to establish a National Commission on State Workers’ Compensation Laws. H.R. 635 was introduced Jan. 22 by Rep. Joe Baca (D-CA). A similar bill became law in 1972 and led to a comprehensive study evaluating state workers’ compensation laws. It was reported that a number of stakeholders are now opposing the proposed bill, including the National Association of Professional Insurance Agents, the Property Casualty Insurers Association of America, and the U.S. Chamber of Commerce.

• Announced that the Large Deductible Study Implementation Working Group revised its draft Third Party Administrator (TPA) Guidelines May 29. The revised draft was recently presented to the Regulatory Framework (B) Task Force for review of health insurance changes from that of the current TPA Statute (TPA Model Law). The draft TPA Guidelines are being developed by the Working Group to eventually replace the current TPA Model Law in order to add workers’ compensation and to update the original model law, which would entail some changes pertaining to health insurance.

Action Items:

None