1999 Montana Legislature

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SENATE BILL NO. 389

INTRODUCED BY J. ELLINGSON



A BILL FOR AN ACT ENTITLED: "AN ACT ELIMINATING CERTAIN REQUIREMENTS TO RECEIVE PERMANENT PARTIAL DISABILITY PAYMENTS; INCREASING TEMPORARY TOTAL DISABILITY AND REHABILITATION BENEFITS; ELIMINATING THE REQUIREMENT THAT MAXIMUM WEEKLY COMPENSATION BENEFITS FOR TEMPORARY TOTAL DISABILITY NOT EXCEED THE STATE'S AVERAGE WEEKLY WAGE AT THE TIME OF INJURY; PROVIDING FOR THE DESIGNATION OF A REHABILITATION PROVIDER BY THE INJURED WORKER; INCREASING ELIGIBILITY FOR REHABILITATION BENEFITS TO 208 WEEKS; REQUIRING AN INSURER TO ALLOW AND PROVIDE FOR DESIGNATION OF A REHABILITATION PROVIDER BY AN INJURED WORKER; REQUIRING INSURER TO PROVIDE AN INJURED WORKER WITH THE LIST OF REHABILITATION PROVIDERS; REQUIRING AN INSURER TO PAY THE REASONABLE COSTS OF THE REHABILITATION PROVIDER THAT HAS BEEN DESIGNATED BY THE INJURED WORKER; AMENDING SECTIONS 39-71-701, 39-71-703, 39-71-712, 39-71-1006, 39-71-1011, AND 39-71-1014, MCA; AND PROVIDING AN EFFECTIVE DATE."



BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MONTANA:



     Section 1.  Section 39-71-701, MCA, is amended to read:

     "39-71-701.  Compensation for temporary total disability -- exception. (1) Subject to the limitation in 39-71-736 and subsection (4) of this section, a worker is eligible for temporary total disability benefits:

     (a)  when the worker suffers a total loss of wages as a result of an injury and until the worker reaches maximum healing; or

     (b)  until the worker has been released to return to the employment in which the worker was engaged at the time of the injury or to employment with similar physical requirements.

     (2)  The determination of temporary total disability must be supported by a preponderance of objective medical findings.

     (3)  Weekly compensation benefits for injury producing temporary total disability are 66 2/3% of the wages received at the time of the injury. The maximum weekly compensation benefits may not exceed the state's average weekly wage at the time of injury. Temporary total disability benefits must be paid for the duration of the worker's temporary disability. The weekly benefit amount may not be adjusted for cost of living as provided in 39-71-702(5).

     (4)  If the treating physician releases a worker to return to the same, a modified, or an alternative position that the individual is able and qualified to perform with the same employer at an equivalent or higher wage than the individual received at the time of injury, the worker is no longer eligible for temporary total disability benefits even though the worker has not reached maximum healing. A worker requalifies for temporary total disability benefits if the modified or alternative position is no longer available for any reason to the worker and the worker continues to be temporarily totally disabled, as defined in 39-71-116.

     (5)  In cases in which it is determined that periodic disability benefits granted by the Social Security Act are payable because of the injury, the weekly benefits payable under this section are reduced, but not below zero, by an amount equal, as nearly as practical, to one-half the federal periodic benefits for the week, which amount is to be calculated from the date of the disability social security entitlement.

     (6)  If the claimant is awarded social security benefits, the insurer may, upon notification of the claimant's receipt of social security benefits, suspend biweekly compensation benefits for a period sufficient to recover any resulting overpayment of benefits. This subsection does not prevent a claimant and insurer from agreeing to a repayment plan.

     (7)  A worker may not receive both wages and temporary total disability benefits without the written consent of the insurer. A worker who receives both wages and temporary total disability benefits without written consent of the insurer is guilty of theft and may be prosecuted under 45-6-301."



     Section 2.  Section 39-71-703, MCA, is amended to read:

     "39-71-703.  Compensation for permanent partial disability. (1) If an injured worker suffers a permanent partial disability and is no longer entitled to temporary total or permanent total disability benefits, the worker is entitled to a permanent partial disability award if that worker:

     (a)  has an actual wage loss as a result of the injury; and

     (b)  has a permanent impairment rating that:

     (i)  is established by objective medical findings; and

     (ii) is more than zero as determined by the latest edition of the American medical association Guides to the Evaluation of Permanent Impairment.

     (2)  When a worker receives an impairment rating as the result of a compensable injury and has no actual wage loss as a result of the injury, the worker is eligible for an impairment award only.

     (3)(2)  The permanent partial disability award must be arrived at by multiplying the percentage arrived at through the calculation provided in subsection (5)(4) by 350 500 weeks.

     (4)(3)  A permanent partial disability An award granted an injured worker may not exceed a permanent partial disability rating of 100%. The criteria for the rating of disability must be calculated using the medical impairment rating as determined by the latest edition of the American medical association Guides to the Evaluation of Permanent Impairment.

     (5)(4)  The percentage to be used in subsection (3)(2) must be determined by adding all of the following applicable percentages to the impairment rating:

     (a)  if the claimant is 40 30 years of age or younger at the time of injury, 0%; if the claimant is over 40 30 years of age but under 56 years of age at the time of injury, 1% 2%; and if the claimant is 56 years of age or older at the time of injury, 3%;

     (b)  for a worker who has completed less than 12 9 years of education, 1% 3%; for a worker who has completed 9 through 12 years or more of education or who has received a graduate equivalency diploma, 0% 2%; for a worker who has completed more than 12 years of education, 0%;

     (c)  if a worker has no actual wage loss as a result of the industrial injury, 0%; if a worker has an actual wage loss of $2 or less an hour as a result of the industrial injury, 10%; if a worker has an actual wage loss of more than $2 an hour as a result of the industrial injury, 20%; and. Wage loss benefits must be based on the difference between the actual wages received at the time of injury and the wages that the worker earns or is qualified to earn after the worker reaches maximum healing.

     (d)  if a worker, at the time of the injury, was performing heavy labor activity and after the injury the worker can perform only light or sedentary labor activity, 5% 20%; if a worker, at the time of injury, was performing heavy labor activity and after the injury the worker can perform only medium labor activity, 3% 15%; if a worker was performing medium labor activity at the time of the injury and after the injury the worker can perform only light or sedentary labor activity, 2% 10%.

     (6)(5)  The weekly benefit rate for permanent partial disability is 66 2/3% of the wages received at the time of injury, but the rate may not exceed one-half the state's average weekly wage. The weekly benefit amount established for an injured worker may not be changed by a subsequent adjustment in the state's average weekly wage for future fiscal years.

     (7)(6)  If a worker suffers a subsequent compensable injury or injuries to the same part of the body, the award payable for the subsequent injury may not duplicate any amounts paid for the previous injury or injuries.

     (8)  If a worker is eligible for a rehabilitation plan, permanent partial disability benefits payable under this section must be calculated based on the wages that the worker earns or would be qualified to earn following the completion of the rehabilitation plan.

     (9)(7)  As used in this section:

     (a)  "heavy labor activity" means the ability to lift over 50 pounds occasionally or up to 50 pounds frequently;

     (b)  "medium labor activity" means the ability to lift up to 50 pounds occasionally or up to 25 pounds frequently;

     (c)  "light labor activity" means the ability to lift up to 20 pounds occasionally or up to 10 pounds frequently; and

     (d)  "sedentary labor activity" means the ability to lift up to 10 pounds occasionally or up to 5 pounds frequently."



     Section 3.  Section 39-71-712, MCA, is amended to read:

     "39-71-712.  Temporary partial disability benefits. (1) If, prior to maximum healing, an injured worker has a physical restriction and is approved to return to a modified or alternative employment that the worker is able and qualified to perform and the worker suffers an actual wage loss as a result of a temporary work restriction, the worker qualifies for temporary partial disability benefits.

     (2)  An insurer's liability for temporary partial disability must be the difference between the injured worker's average weekly wage received at the time of the injury, subject to a maximum of 40 hours a week, and the actual weekly wages earned during the period that the claimant is temporarily partially disabled, not to exceed the injured worker's temporary total disability benefit rate.

     (3)  Temporary partial disability benefits are limited to a total of 26 weeks. The insurer may extend the period of temporary partial disability payments.

     (4)  A worker is not eligible for temporary partial disability benefits or temporary total disability benefits if:

     (a)  the worker has been released by the treating physician to return to a modified or alternative position that the individual is able and qualified to perform with the same employer;

     (b)  the wages payable in the modified or alternative position, when combined with the temporary partial disability benefits, would result in an equivalent or higher wage than the worker received at the time of injury; and

     (c)  the worker refuses to accept the modified or alternative position. A worker requalifies for temporary total disability benefits if the modified or alternative position is no longer available to the worker and the worker continues to be temporarily totally disabled as defined in 39-71-116.

     (5)  Temporary partial disability may not be considered an element of permanent partial disability and may not be credited against any permanent impairment or any permanent partial disability award or settlement under 39-71-703 achieved after the injured worker reaches maximum healing."



     Section 4.  Section 39-71-1006, MCA, is amended to read:

     "39-71-1006.  Rehabilitation benefits. (1) A worker is eligible for rehabilitation benefits if:

     (a)  (i)  the worker meets the definition of a disabled worker as provided in 39-71-1011; or

     (ii) the worker has, as a result of the work-related injury, a whole person impairment rating of 15% or greater, as established by objective medical findings, and has no actual wage loss;

     (b)  a rehabilitation provider, as designated by the insurer injured worker, certifies that the worker has reasonable vocational goals and reasonable reemployment opportunity. If eligible because of an impairment rating of 15% or more, with rehabilitation the worker will have a reasonable increase in the worker's wage compared to the wage that the worker received at the time of injury. If eligible because of a wage loss, the worker will have a reasonable reduction in the worker's actual wage loss with rehabilitation.

     (c)  a rehabilitation plan is agreed upon by the worker and the insurer and a written copy of the plan is provided to the worker. The plan must take into consideration the worker's age, education, training, work history, residual physical capacities, and vocational interests. The plan must specify a beginning date and a completion date. The plan must specify the cost of tuition, fees, books, and other reasonable and necessary retraining expenses required to complete the plan.

     (2)  A disabled worker is entitled to receive biweekly compensation benefits at the worker's temporary total disability rate. The benefits must be paid for the period specified in the rehabilitation plan, not to exceed 104 208 weeks. The rehabilitation plan must be completed within 26 weeks of the completion date specified in the plan. Rehabilitation benefits must be paid biweekly while the worker is satisfactorily progressing in the agreed-upon rehabilitation plan. Benefits under this section are not subject to the lump-sum provisions of 39-71-741.

     (3)  In addition to rehabilitation benefits payable under subsection (2), a disabled worker who was injured on or after July 1, 1997, is entitled to receive payment for tuition, fees, books, and other reasonable and necessary retraining expenses, excluding travel and living expenses paid pursuant to the provisions of 39-71-1025, as set forth in department rules and as specified in the rehabilitation plan. Expenses must be paid directly by the insurer.

     (4)  A worker may not receive temporary total benefits and the benefits under subsection (2) during the same period of time.

     (5)  A rehabilitation provider authorized selected by the insurer injured worker shall continue to assist the injured worker until the rehabilitation plan is completed. The insurer shall pay the reasonable costs of the rehabilitation provider.

     (6)  To be eligible for benefits under this section, a worker is required to begin the rehabilitation plan within 78 weeks of reaching maximum medical healing.

     (7)  A worker may not receive both wages and rehabilitation benefits without the written consent of the insurer. A worker who receives both wages and rehabilitation benefits without written consent of the insurer is guilty of theft and may be prosecuted under 45-6-301."



     Section 5.  Section 39-71-1011, MCA, is amended to read:

     "39-71-1011.  Definitions. As used in this chapter, the following definitions apply:

     (1)  "Board of rehabilitation certification" means the nonprofit, independent, fee-structured organization that is a member of the national commission for health certifying agencies and that is established to certify rehabilitation practitioners.

     (2)  "Disabled worker" means a worker who has a permanent impairment, established by objective medical findings, resulting from a work-related injury that precludes the worker from returning to the job the worker held at the time of the injury or to a job with similar physical requirements and who has an actual wage loss as a result of the injury.

     (3)  "Rehabilitation benefits" means benefits provided in 39-71-1006 and 39-71-1025.

     (4)  "Rehabilitation plan" means a written individualized plan that assists a disabled worker in acquiring skills or aptitudes to return to work through job placement, on-the-job training, education, training, or specialized job modification and that reasonably reduces the worker's actual wage loss.

     (5)  "Rehabilitation provider" means a rehabilitation counselor certified by the board for rehabilitation certification and designated by the insurer injured worker.

     (6)  "Rehabilitation services" means a program of evaluation, planning, and implementation of a rehabilitation plan to assist a disabled worker to return to work."



     Section 6.  Section 39-71-1014, MCA, is amended to read:

     "39-71-1014.  Rehabilitation services -- required and provided by insurers. (1) Rehabilitation services are required for disabled workers and may must be initiated by:

     (a)  an the insurer by designating requesting that an eligible injured worker designate a rehabilitation provider; or

     (b)  a disabled an eligible injured worker through a request to the department. The department shall then require notifying the insurer to designate that the worker has designated a rehabilitation provider.

     (2)  Rehabilitation services provided under this part must be delivered  through a rehabilitation counselor certified by the board of rehabilitation certification

     (2) Upon initiation of rehabilitation services under subsection (1), the insurer shall provide the injured worker with a complete list of rehabilitation providers, as defined in 39-71-1011."



     NEW SECTION.  Section 7.  Effective date. [This act] is effective July 1, 1999.

- END -




Latest Version of SB 389 (SB0389.01)
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