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Washington: Changes on discretion for incurred losses to take effect

The Department of Labor and Industries amended WAC 296-17-871, director's discretion for incurred losses on claims with vocational plans.

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The new section provides that the incurred losses charged to an employer's experience rating can be reduced, at the DLI director's discretion, for the vocational costs paid under RCW 51.32.099(3)(d) for retraining and time-loss benefits paid for the retraining period. The director can reduce the incurred losses when the worker had a vocational plan approved after Dec. 31, 2007, on a previous Washington state industrial insurance claim and the injury or occupational disease resulted from employment and work-related activities beyond the worker's documented restrictions from the earlier claim. The statute expires June 30, 2013. The adopted rule clarifies when the director's discretion can no longer be granted based on the language of the statute and how it is applied in an accident year's incurred losses for experience rating. The changes were adopted March 1 and will be effective April 1. For more information, visit www.lni.wa.gov.

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March 29, 2010

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