AB758, s. 17 13Section 17. 102.26 (2) of the statutes is amended to read:
AB758,21,214 102.26 (2) Unless previously authorized by the department, no fee may be
15charged or received for the enforcement or collection of any claim for compensation,
16nor may any contract therefor for that enforcement or collection be enforceable where
17such
when that fee, inclusive of all taxable attorney fees paid or agreed to be paid for
18such that enforcement or collection, exceeds 20% 20 percent of the amount at which
19such that claim is compromised or of the amount awarded, adjudged, or collected,
20except that in cases of admitted liability where in which there is no dispute as to the
21amount of compensation due and in which no hearing or appeal is necessary, the fee
22charged shall may not exceed 10% 10 percent, but not to exceed $100 $250, of the
23amount at which such that claim is compromised or of the amount awarded,
24adjudged, or collected. The limitation as to fees shall apply to the combined charges

1of attorneys, solicitors, representatives, and adjusters who knowingly combine their
2efforts toward the enforcement or collection of any compensation claim.
AB758, s. 18 3Section 18. 102.29 (6) of the statutes is renumbered 102.29 (6) (b) (intro.) and
4amended to read:
AB758,21,75 102.29 (6) (b) (intro.) No employee of a temporary help agency who makes a
6claim for compensation may make a claim or maintain an action in tort against any
7of the following:
AB758,21,9 81. Any employer who that compensates the temporary help agency for the
9employee's services.
AB758, s. 19 10Section 19. 102.29 (6) (a) of the statutes is created to read:
AB758,21,1311 102.29 (6) (a) In this subsection, "temporary help agency" means a temporary
12help agency that is primarily engaged in the business of placing its employees with
13or leasing its employees to another employer as provided in s. 102.01 (2) (f).
AB758, s. 20 14Section 20. 102.29 (6) (b) 2. of the statutes is created to read:
AB758,21,1615 102.29 (6) (b) 2. Any other temporary help agency that is compensated by that
16employer for another employee's services.
AB758, s. 21 17Section 21. 102.29 (6) (b) 3. of the statutes is created to read:
AB758,21,2218 102.29 (6) (b) 3. Any employee of that compensating employer or of that other
19temporary help agency, unless the employee who makes a claim for compensation
20would have a right under s. 102.03 (2) to bring an action against the employee of the
21compensating employer or the employee of the other temporary help agency if the
22employees were coemployees.
AB758, s. 22 23Section 22. 102.29 (6) (c) of the statutes is created to read:
AB758,22,3
1102.29 (6) (c) No employee of an employer that compensates a temporary help
2agency for another employee's services who makes a claim for compensation may
3make a claim or maintain an action in tort against any of the following:
AB758,22,44 1. The temporary help agency.
AB758,22,85 2. Any employee of the temporary help agency, unless the employee who makes
6a claim for compensation would have a right under s. 102.03 (2) to bring an action
7against the employee of the temporary help agency if the employees were
8coemployees.
AB758, s. 23 9Section 23. 102.29 (6m) of the statutes is created to read:
AB758,22,1210 102.29 (6m) (a) No leased employee, as defined in s. 102.315 (1) (g), who makes
11a claim for compensation may make a claim or maintain an action in tort against any
12of the following:
AB758,22,1413 1. The client, as defined in s. 102.315 (1) (b), that accepted the services of the
14leased employee.
AB758,22,1615 2. Any other employee leasing company, as defined in s. 102.315 (1) (f), that
16provides the services of another leased employee to the client.
AB758,22,2117 3. Any employee of the client or of that other employee leasing company, unless
18the leased employee who makes a claim for compensation would have a right under
19s. 102.03 (2) to bring an action against the employee of the client or the leased
20employee of the other employee leasing company if the employees and leased
21employees were coemployees.
AB758,22,2322 (b) No employee of a client who makes a claim for compensation may make a
23claim or maintain an action in tort against any of the following:
AB758,22,2524 1. An employee leasing company that provides the services of a leased employee
25to the client.
AB758,23,4
12. Any leased employee of the employee leasing company, unless the employee
2who makes a claim for compensation would have a right under s. 102.03 (2) to bring
3an action against the leased employee if the employee and the leased employee were
4coemployees.
AB758, s. 24 5Section 24. 102.31 (2m) of the statutes is repealed.
AB758, s. 25 6Section 25. 102.315 of the statutes is created to read:
AB758,23,8 7102.315 Worker's compensation insurance; employee leasing
8companies. (1)
Definitions. In this section:
AB758,23,109 (a) "Bureau" means the Wisconsin compensation rating bureau under s.
10626.06.
AB758,23,1311 (b) "Client" means a person that obtains all or part of its nontemporary, ongoing
12employee workforce through an employee leasing agreement with an employee
13leasing company.
AB758,23,1614 (c) "Divided workforce" means a workforce in which some of the employees of
15a client are leased employees and some of the employees of the client are not leased
16employees.
AB758,23,2017 (d) "Divided workforce plan" means a plan under which 2 worker's
18compensation insurance policies are issued to cover the employees of a client that has
19a divided workforce, one policy covering the leased employees of the client and one
20policy covering the employees of the client who are not leased employees.
AB758,23,2321 (e) "Employee leasing agreement" means a written contract between an
22employee leasing company and a client under which the employee leasing company
23provides all or part of the nontemporary, ongoing employee workforce of the client.
AB758,24,724 (f) "Employee leasing company" means a person that contracts to provide the
25nontemporary, ongoing employee workforce of a client under a written agreement,

1regardless of whether the person uses the term "professional employer
2organization," "PEO," "staff leasing company," "registered staff leasing company," or
3"employee leasing company," or uses any other, similar name, as part of the person's
4business name or to describe the person's business. "Employee leasing company"
5does not include a cooperative educational service agency. This definition applies
6only for the purposes of this chapter and does not apply to the use of the term in any
7other chapter.
AB758,24,98 (g) "Leased employee" means a nontemporary, ongoing employee whose
9services are obtained by a client under an employee leasing agreement.
AB758,24,1310 (h) "Master policy" means a single worker's compensation insurance policy
11issued by an insurer authorized to do business in this state to an employee leasing
12company in the name of the employee leasing company that covers more than one
13client of the employee leasing company.
AB758,24,1714 (i) "Multiple coordinated policy" means a contract of insurance for worker's
15compensation under which an insurer authorized to do business in this state issues
16separate worker's compensation insurance policies to an employee leasing company
17for each client of the employee leasing company that is insured under the contract.
AB758,24,2318 (j) "Small client" means a client that has an unmodified annual premium
19assignable to its business, including the business of all entities or organizations that
20are under common control or ownership with the client, that is equal to or less than
21the threshold below which employers are not experience rated under the standards
22and criteria under ss. 626.11 and 626.12, without regard to whether the client has
23a divided workforce.
AB758,25,6 24(2) Employee leasing company liable. An employee leasing company is liable
25under s. 102.03 for all compensation payable under this chapter to a leased employee,

1including any payments required under s. 102.16 (3), 102.18 (1) (b) or (bp), 102.22
2(1), 102.35 (3), 102.57, or 102.60. Except as permitted under s. 102.29, an employee
3leasing company may not seek or receive reimbursement from another employer for
4any payments made as a result of that liability. An employee leasing company is not
5liable under s. 102.03 for any compensation payable under this chapter to an
6employee of a client who is not a leased employee.
AB758,25,17 7(3) Multiple coordinated policy required. Except as provided in subs. (4) and
8(5) (a), an employee leasing company shall insure its liability under sub. (2) by
9obtaining a separate worker's compensation insurance policy for each client of the
10employee leasing company under a multiple coordinated policy. The policy shall
11name both the employee leasing company and the client as named insureds, shall
12indicate which named insured is the employee leasing company and which is the
13client, shall designate either the employee leasing company or the client, but not
14both, as the first named insured, and shall provide the mailing address of each
15named insured. Except as permitted under sub. (6), an insurer may issue a policy
16for a client under this subsection only if all of the employees of the client are leased
17employees and are covered under the policy.
AB758,26,9 18(4) Master policy; approval required. An employee leasing company may
19insure its liability under sub. (2) by obtaining a master policy that has been approved
20by the commissioner of insurance as provided in this subsection. The commissioner
21of insurance may approve the issuance of a master policy if the insurer proposing to
22issue the master policy submits a filing to the bureau showing that the insurer has
23the technological capacity and operation capability to provide to the bureau
24information, including unit statistical data, information concerning proof of
25coverage and cancellation, termination, and nonrenewal of coverage, and any other

1information that the bureau may require, at the client level and in a format required
2by the bureau and the bureau submits the filing to the commissioner of insurance for
3approval under s. 626.13. A master policy filing under this subsection shall also
4establish basic manual rules governing the issuance of an insurance policy covering
5the leased employees of a divided workforce that are consistent with sub. (6) and the
6cancellation, termination, and nonrenewal of policies that are consistent with sub.
7(10). On approval by the commissioner of insurance of a master policy filing, an
8insurer may issue a master policy to an employee leasing company insuring the
9liability of the employee leasing company under sub. (2).
AB758,26,21 10(5) Master policy; small clients. (a) Regardless of whether a master policy
11has been approved under sub. (4), an employee leasing company may insure its
12liability under sub. (2) with respect to a group of small clients of the employee leasing
13company by obtaining a master policy in the voluntary market insuring that liability.
14The fact that an employee leasing company has a client that is covered under a
15mandatory risk-sharing plan under s. 619.01 does not preclude the employee leasing
16company from obtaining a master policy under this paragraph so long as that client
17is not covered under the master policy. An insurer may issue a master policy under
18this paragraph insuring in the voluntary market the liability under sub. (2) of an
19employee leasing company with respect to a group of small clients of the employee
20leasing company regardless of whether any of those small clients has a divided
21workforce.
AB758,26,2422 (b) Within 30 days after the effective date of an employee leasing agreement
23with a small client that is covered under a master policy under par. (a), the employee
24leasing company shall report to the department all of the following information:
AB758,27,2
11. The name and address of the small client and of each entity or organization
2that is under common control or ownership with the small client.
AB758,27,33 2. The number of employees initially covered under the master policy.
AB758,27,84 3. The estimated unmodified annual premium assignable to the small client's
5business, including the business of all entities or organizations that are under
6common control or ownership with the small client, without regard to whether the
7small client has a divided workforce, which information the small client shall report
8to the employee leasing company.
AB758,27,99 4. The effective date of the employee leasing agreement.
AB758,27,1710 (c) Within 30 days after the effective date of coverage of a small client under
11a master policy under par. (a), the insurer or, if authorized by the insurer, the
12employee leasing company shall file proof of that coverage with the department.
13Coverage of a small client under a master policy becomes binding when the insurer
14or employee leasing company files proof of that coverage under this paragraph or
15provides notice of coverage to the small client, whichever occurs first. Nothing in this
16paragraph requires an employee leasing company or an employee of an employee
17leasing company to be licensed as an insurance intermediary under ch. 628.
AB758,27,2518 (d) If at any time the unmodified annual premium assignable to the business
19of a small client that is covered under a master policy under par. (a), including the
20business of all entities or organizations that are under common control or ownership
21with the small client, without regard to whether the small client has a divided
22workforce, exceeds the threshold below which employers are not experience rated
23under the standards and criteria under ss. 626.11 and 626.12, the employee leasing
24company shall notify the insurer and obtain coverage for the small client under sub.
25(3) or (4).
AB758,28,10
1(6) Divided workforce. (a) If a client notifies the department as provided
2under par. (b) of its intent to have a divided workforce, an insurer may issue a
3worker's compensation insurance policy covering only the leased employees of the
4client. An insurer that issues a policy covering only the leased employees of a client
5is not liable under s. 102.03 for any compensation payable under this chapter to an
6employee of the client who is not a leased employee unless the insurer also issues a
7policy covering that employee. A client that has a divided workforce shall insure its
8employees who are not leased employees in the voluntary market and may not insure
9those employees under the mandatory risk-sharing plan under s. 619.01 unless the
10leased employees of the client are covered under that plan.
AB758,28,1311 (b) A client that intends to have a divided workforce shall notify the department
12of that intent on a form prescribed by the department that includes all of the
13following:
AB758,28,1714 1. The names and mailing addresses of the client and the employee leasing
15company, the effective date of the employee leasing agreement, a description of the
16employees of the client who are not leased employees, and such other information as
17the department may require.
AB758,28,2218 2. Except as provided in par. (c), evidence that the employees of the client who
19are not leased employees are covered in the voluntary market. That evidence shall
20be in the form of a copy of the information page or declaration page of a worker's
21compensation insurance policy or binder evidencing placement of coverage in the
22voluntary market covering those employees.
AB758,29,423 3. An agreement by the client to assume full responsibility to immediately pay
24all compensation and other payments payable under this chapter as may be required
25by the department should a dispute arise between 2 or more insurers as to liability

1under this chapter for an injury sustained while a divided workforce plan is in effect,
2pending final resolution of that dispute. This subdivision does not preclude a client
3from insuring that responsibility in an insurer authorized to do business in this
4state.
AB758,29,135 (c) If the leased employees of a client are covered under a mandatory
6risk-sharing plan under s. 619.01, the client may, instead of providing the evidence
7required under par. (b) 2., provide evidence in its notification under par. (b) that both
8the leased employees of the client and the employees of the client who are not leased
9employees are covered under that mandatory risk-sharing plan. That evidence shall
10be in the form of a copy of the information page or declaration page of a worker's
11compensation insurance policy or binder evidencing placement of coverage under the
12mandatory risk-sharing plan covering both those leased employees and employees
13who are not leased employees.
AB758,29,1514 (d) When the department receives a notification under par. (b), the department
15shall immediately provide a copy of the notification to the bureau.
AB758,29,1916 (e) 1. If a client intends to terminate a divided workforce plan, the client shall
17notify the department of that intent on a form prescribed by the department.
18Termination of a divided workforce plan by a client is not effective until 10 days after
19notice of the termination is received by the department.
AB758,30,220 2. If an insurer cancels, terminates, or does not renew a worker's compensation
21insurance policy issued under a divided workforce plan that covers in the voluntary
22market the employees of a client who are not leased employees, the divided workforce
23plan is terminated on the effective date of the cancellation, termination, or
24nonrenewal of the policy, unless the client submits evidence under par. (c) that both

1the leased employees of the client and the employees of the client who are not leased
2employees are covered under a mandatory risk-sharing plan.
AB758,30,73 3. If an insurer cancels, terminates, or does not renew a worker's compensation
4insurance policy issued under a divided workforce plan that covers under the
5mandatory risk-sharing plan under s. 619.01 the employees of a client who are not
6leased employees, the divided workforce plan is terminated on the effective date of
7the cancellation, termination, or nonrenewal of the policy.
AB758,30,9 8(7) Filing of contracts. An insurer that provides a policy under sub. (3), (4),
9or (5) (a) shall file the policy as provided in s. 626.35.
AB758,30,14 10(8) Coverage of certain employees. (a) A sole proprietor, a partner, or a
11member of a limited liability company is not eligible for worker's compensation
12benefits under a policy issued under sub. (3), (4), or (5) (a) unless the sole proprietor,
13partner, or member elects coverage under s. 102.075 by an endorsement on the policy
14naming the sole proprietor, partner, or member who has so elected.
AB758,30,1815 (b) An officer of a corporation is covered for worker's compensation benefits
16under a policy issued under sub. (3), (4), or (5) (a), unless the officer elects under s.
17102.076 not to be covered under the policy by an endorsement on the policy naming
18the officer who has so elected.
AB758,30,2219 (c) An employee leasing company shall obtain a worker's compensation
20insurance policy that is separate from a policy covering the employees whom it leases
21to its clients to cover the employees of the employee leasing company who are not
22leased employees.
AB758,31,2 23(9) Premiums. (a) An insurer that issues a policy under sub. (3), (4), or (5) (a)
24may charge a premium for coverage under that policy that complies with the

1applicable classifications, rules, rates, and rating plans filed with and approved by
2the commissioner of insurance under s. 626.13.
AB758,31,73 (b) For a policy issued under sub. (3) in which an employee leasing company
4is the first named insured or for a master policy issued under sub. (4) or (5) (a), an
5insurer may obligate only the employee leasing company to pay premiums due for
6a client's coverage under the policy and may not recover any unpaid premiums due
7for that coverage from the client.
AB758,31,88 (c) This subsection does not prohibit an insurer from doing any of the following:
AB758,31,109 1. Collecting premiums or other charges due with respect to a client by means
10of list billing through an employee leasing company.
AB758,31,1211 2. Requiring an employee leasing company to maintain a letter of credit or
12other form of security to ensure payment of a premium.
AB758,31,1413 3. Issuing policies that have a common renewal date to all, or a class of all,
14clients of an employee leasing company.
AB758,31,1715 4. Grouping together the clients of an employee leasing company for the
16purpose of offering dividend eligibility and paying dividends to those clients in
17compliance with s. 631.51.
AB758,31,1918 5. Applying a discount to the premium charged with respect to a client as
19permitted by the bureau.
AB758,31,2520 6. Applying a retrospective rating option for determining the premium charged
21with respect to a client. No insurer or employee leasing company may impose on,
22allocate to, or collect from a client a penalty under a retrospective rating option
23arrangement. This subdivision does not prohibit an insurer from requiring an
24employee leasing company to pay a penalty under a retrospective rating option
25arrangement with respect to a client of the employee leasing company.
AB758,32,4
1(10) Cancellation, termination, and nonrenewal of policies. (a) 1. A policy
2issued under sub. (3) in which the employee leasing company is the first named
3insured and a policy issued under sub. (4) or (5) (a) may be cancelled, terminated, or
4nonrenewed as provided in subds. 2. to 4.
AB758,32,105 2. The insureds under a policy described in subd. 1. may cancel the policy
6during the policy period if both the employee leasing company and the client agree
7to the cancellation, the cancellation is confirmed by the employee leasing company
8promptly providing written confirmation of the cancellation to the client or by the
9client agreeing to the cancellation in writing, and the insurer provides written notice
10of the cancellation to the department as required under s. 102.31 (2) (a).
AB758,32,2411 3. Subject to subd. 4., an insurer may cancel, terminate, or nonrenew a policy
12described in subd. 1. by providing written notice of the cancellation, termination, or
13nonrenewal to the insured employee leasing company and to the department as
14required under s. 102.31 (2) (a) and by providing that notice to the insured client.
15The insurer is not required to state in the notice to the insured client the facts on
16which the decision to cancel, terminate, or nonrenew the policy is based. Except as
17provided in s. 102.31 (2) (b), cancellation or termination of a policy under this
18subdivision for any reason other than nonrenewal is not effective until 30 days after
19the insurer has provided written notice of the cancellation or termination to the
20insured employee leasing company, the insured client, and the department. Except
21as provided in s. 102.31 (2) (b), nonrenewal of a policy under this subdivision is not
22effective until 60 days after the insurer has provided written notice of the
23cancellation or termination to the insured employee leasing company, the insured
24client, and the department.
AB758,33,11
14. If an employee leasing company terminates an employee leasing agreement
2with a client in its entirety, an insurer may cancel or terminate a policy described in
3subd. 1. covering that client during the policy period by providing written notice of
4the cancellation or termination to the insured employee leasing company and the
5department as required under s. 102.31 (2) (a) and by providing that notice to the
6insured client. The insurer shall state in the notice to the insured client that the
7policy is being cancelled or terminated due to the termination of the employee leasing
8agreement. Except as provided in s. 102.31 (2) (b), cancellation or termination of a
9policy under this subdivision is not effective until 30 days after the insurer has
10provided written notice of the cancellation or termination to the insured employee
11leasing company, the insured client, and the department.
AB758,33,1312 (b) 1. A policy issued under sub. (3) in which the client is the first named insured
13may be cancelled, terminated, or nonrenewed as provided in subds. 2. to 4.
AB758,33,1914 2. The insureds under a policy described in subd. 1. may cancel the policy
15during the policy period if both the employee leasing company and the client agree
16to the cancellation, the cancellation is confirmed by the employee leasing company
17promptly providing written confirmation of the cancellation to the client or by the
18client agreeing to the cancellation in writing, and the insurer provides written notice
19of the cancellation to the department as required under s. 102.31 (2) (a).
AB758,34,720 3. An insurer may cancel, terminate, or nonrenew a policy described in subd.
211., including cancellation or termination of a policy providing continued coverage
22under subd. 4., by providing written notice of the cancellation, termination, or
23nonrenewal to the insured employee leasing company and to the department as
24required under s. 102.31 (2) (a) and by providing that notice to the insured client.
25Except as provided in s. 102.31 (2) (b), cancellation or termination of a policy under

1this subdivision for any reason other than nonrenewal is not effective until 30 days
2after the insurer has provided written notice of the cancellation or termination to the
3insured employee leasing company, the insured client, and the department. Except
4as provided in s. 102.31 (2) (b), nonrenewal of a policy under this subdivision is not
5effective until 60 days after the insurer has provided written notice of the
6cancellation or termination to the insured employee leasing company, the insured
7client, and the department.
AB758,34,128 4. If an employee leasing agreement is terminated during the policy period of
9a policy described in subd. 1., an insurer shall cancel the employee leasing company's
10coverage under the policy by an endorsement to the policy and coverage of the client
11under the policy shall continue as to all employees of the client unless the policy is
12cancelled or terminated as permitted under subd. 3.
AB758, s. 26 13Section 26. 102.32 (intro.) of the statutes is renumbered 102.32 (1m) (intro.)
14and amended to read:
AB758,34,2015 102.32 (1m) (intro.) In any case in which compensation payments for an injury
16have extended or will extend over 6 months or more from after the date of the injury
17(or at any time in death benefit cases) or in any case in which death benefits are
18payable
, any party in interest may, in the discretion of the department, be discharged
19from, or compelled to guarantee, future compensation payments as follows by doing
20any of the following
:
AB758, s. 27 21Section 27. 102.32 (1) of the statutes is renumbered 102.32 (1m) (a) and
22amended to read:
AB758,35,223 102.32 (1m) (a) By depositing Depositing the present value of the total unpaid
24compensation upon a 7% 5 percent interest discount basis with a credit union,

1savings bank, savings and loan association, bank, or trust company designated by
2the department; or.
AB758, s. 28 3Section 28. 102.32 (2) of the statutes is renumbered 102.32 (1m) (b) and
4amended to read:
AB758,35,75 102.32 (1m) (b) By purchasing Purchasing an annuity, within the limitations
6provided by law, in such from an insurance company granting annuities and licensed
7in this state, as may be that is designated by the department; or.
AB758, s. 29 8Section 29. 102.32 (3) of the statutes is renumbered 102.32 (1m) (c) and
9amended to read:
AB758,35,1110 102.32 (1m) (c) By making Making payment in gross upon a 7% 5 percent
11interest discount basis to be approved by the department; and.
AB758, s. 30 12Section 30. 102.32 (4) of the statutes is renumbered 102.32 (1m) (d) and
13amended to read:
AB758,36,214 102.32 (1m) (d) In cases where in which the time for making payments or the
15amounts thereof of payments cannot be definitely determined, by furnishing a bond,
16or other security, satisfactory to the department for the payment of compensation as
17may be due or become due. The acceptance of the bond, or other security, and the form
18and sufficiency thereof of the bond or other security, shall be subject to the approval
19of the department. If the employer or insurer is unable or fails to immediately
20procure the bond, then, in lieu thereof of procuring the bond, deposit shall be made
21with a credit union, savings bank, savings and loan association, bank , or trust
22company designated by the department, of the maximum amount that may
23reasonably become payable in these cases, to be determined by the department at
24amounts consistent with the extent of the injuries and the law. The bonds and
25deposits are to be reduced only to satisfy claims and withdrawn only after the claims

1which they are to guarantee are fully satisfied or liquidated under sub. (1), (2) or (3);
2and
par. (a), (b), or (c).
AB758, s. 31 3Section 31. 102.32 (5) of the statutes is amended to read:
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