SB21: Bill Text

SB21,1132,14 102.28 (3) (a) (intro.) An employer may file with the department office an application for exemption from the duty to pay compensation under this chapter with respect to any employee who signs the waiver described in subd. 1. and the affidavit described in subd. 2. if an authorized representative of the religious sect to which the employee belongs signs the affidavit specified in subd. 3. and the agreement described in subd. 4. An application for exemption under this paragraph shall include all of the following:

SB21,2859 Section 2859. 102.28 (3) (b) (intro.) of the statutes is amended to read:

SB21,1132,18 102.28 (3) (b) (intro.) The department office shall approve an application under par. (a) if the department office determines that all of the following conditions are satisfied:

SB21,2860 Section 2860. 102.28 (3) (b) 3. of the statutes is amended to read:

SB21,1133,3 102.28 (3) (b) 3. The religious sect to which the employee belongs has a long-established history of providing its members who become dependent on the religious sect as a result of work-related injuries, and the dependents of those members, with a standard of living and medical treatment that are reasonable when compared to the general standard of living and medical treatment for members of the religious sect. In determining whether the religious sect has a long-standing history of providing the financial and medical assistance described in this subdivision, the department office shall presume that a 25-year history of providing that financial and medical assistance is long-standing for purposes of this subdivision.

SB21,2861 Section 2861. 102.28 (3) (c) of the statutes is amended to read:

SB21,1133,20 102.28 (3) (c) An employee who has signed a waiver under par. (a) 1. and an affidavit under par. (a) 2., who sustains an injury that, but for that waiver, the employer would be liable for under s. 102.03, who at the time of the injury was a member of a religious sect whose authorized representative has filed an affidavit under par. (a) 3. and an agreement under par. (a) 4., and who as a result of the injury becomes dependent on the religious sect for financial and medical assistance, or the employee's dependent, may request a hearing under s. 102.17 (1) to determine if the religious sect has provided the employee and his or her dependents with a standard of living and medical treatment that are reasonable when compared to the general standard of living and medical treatment for members of the religious sect. If, after hearing, the department division determines that the religious sect has not provided that standard of living or medical treatment, or both, the department division may order the religious sect to provide alternative benefits to that employee or his or her dependent, or both, in an amount that is reasonable under the circumstances, but not in excess of the benefits that the employee or dependent could have received under this chapter but for the waiver under par. (a) 1.

SB21,2862 Section 2862. 102.28 (3) (d) of the statutes is amended to read:

SB21,1134,2 102.28 (3) (d) The department office shall provide a form for the application for exemption of an employer under par. (a) (intro.), the waiver and affidavit of an employee under par. (a) 1. and 2., the affidavit of a religious sect under par. (a) 3., and the agreement of a religious sect under par. (a) 4. A properly completed form is prima facie evidence of satisfaction of the conditions under par. (b) as to the matter contained in the form.

SB21,2863 Section 2863. 102.28 (4) (a) of the statutes is amended to read:

SB21,1134,6 102.28 (4) (a) When the department office discovers an uninsured employer, the department office may order the employer to cease operations until the employer complies with sub. (2).

SB21,2864 Section 2864. 102.28 (4) (b) of the statutes is amended to read:

SB21,1134,12 102.28 (4) (b) If the department office believes that an employer may be an uninsured employer, the department office shall notify the employer of the alleged violation of sub. (2) and the possibility of closure under this subsection. The employer may request and shall receive a hearing under s. 102.17 on the matter if the employer applies for a hearing within 10 days after the notice of the alleged violation is served.

SB21,2865 Section 2865. 102.28 (4) (c) of the statutes is amended to read:

SB21,1134,17 102.28 (4) (c) After a hearing under par. (b), or without a hearing if one is not requested, the department division may issue an order to an employer to cease operations on a finding that the employer is an uninsured employer. If no hearing is requested, the office may issue such an order.

SB21,2866 Section 2866. 102.28 (4) (d) of the statutes is amended to read:

SB21,1134,21 102.28 (4) (d) The department of justice may bring an action in any court of competent jurisdiction for an injunction or other remedy to enforce the department's an order to cease operations under par. (c).

SB21,2867 Section 2867. 102.28 (6) of the statutes is amended to read:

SB21,1135,6 102.28 (6) Reports by employer. Every employer shall upon Upon request of the department office, an employer shall report to it the office the number of employees and employed by the employer, the nature of their work and also, the name of the insurance company with whom which the employer has insured its liability under this chapter, and the policy number and date of expiration of such the policy insuring that liability. Failure to furnish such a report requested under this subsection within 10 days from the making of a request after the request is sent to the employer by certified mail shall constitute constitutes presumptive evidence that the delinquent employer is violating in violation of sub. (2).

SB21,2868 Section 2868. 102.28 (7) (a) of the statutes is amended to read:

SB21,1135,22 102.28 (7) (a) If an employer who is currently or was formerly exempted by written order of the department under sub. (2) is unable to pay an award, judgment is rendered in accordance with s. 102.20 against that employer, and execution is levied and returned unsatisfied in whole or in part, payments for the employer's liability shall be made from the fund established under sub. (8). If a currently or formerly exempted employer files for bankruptcy and if not less than 60 days after that filing the department office has reason to believe that compensation payments due are not being paid, the department office in its discretion may make payment for the employer's liability from the fund established under sub. (8). The secretary of administration shall proceed to recover such those payments from the employer or the employer's receiver or trustee in bankruptcy, and may commence an action or proceeding or file a claim therefor to recover those payments. The attorney general shall appear on behalf of the secretary of administration in any such action or proceeding. All moneys recovered in any such action or proceeding shall be paid into the fund established under sub. (8).

SB21,2869 Section 2869. 102.28 (7) (b) of the statutes is amended to read:

SB21,1136,18 102.28 (7) (b) Each Upon the issuance of an initial order exempting an employer under sub. (2), the employer exempted by written order of the department under sub. (2) shall pay into the fund established by under sub. (8) a sum equal to that the amount assessed against each of the other such exempt employers upon the issuance of an initial order that are exempt under sub. (2). The order shall provide for a sum that is sufficient to secure estimated payments of the insolvent exempt employer due for the period up to the date of the order and for one year following the date of the order and to pay the estimated cost of insurance carrier or insurance service organization services under par. (c). Payments ordered to be made to the fund shall be paid to the department office within 30 days after the date of the order. If additional moneys are required, further assessments shall be made based on orders of the department office with assessment those assessments to be prorated on the basis of the gross payroll for this state of the exempt employer, as reported to the department of workforce development for the previous calendar year for unemployment insurance purposes under ch. 108. If the exempt employer is not covered under ch. 108, then the department office shall determine the comparable gross payroll for the exempt employer. If payment of any assessment made under this subsection paragraph is not made within 30 days of after the date of the order of the department office, the attorney general may appear on behalf of the state to collect the assessment.

SB21,2870 Section 2870. 102.28 (7) (c) of the statutes is amended to read:

SB21,1136,23 102.28 (7) (c) The department office may retain an insurance carrier or insurance service organization to process, investigate, and pay valid claims. The charge for such service those services shall be paid from the fund as provided under par. (b).

SB21,2871 Section 2871. 102.28 (8) of the statutes is amended to read:

SB21,1137,5 102.28 (8) Self-insured employers liability fund. The moneys paid into the state treasury under sub. (7), together with all accrued interest, shall constitute a separate nonlapsible fund designated as the self-insured employers liability fund. Moneys in the fund may be expended only as provided in s. 20.445 (1) 20.145 (6) (s) and may not be used for an any other purpose of the state.

SB21,2872 Section 2872. 102.29 (1) (a) of the statutes is amended to read:

SB21,1137,23 102.29 (1) (a) The making of a claim for compensation against an employer or compensation insurer for the injury or death of an employee shall does not affect the right of the employee, the employee's personal representative, or other person entitled to bring action to make a claim or maintain an action in tort against any other party for such that injury or death, hereinafter referred to as a 3rd party; nor shall does the making of a claim by any such person against a 3rd party for damages by reason of an injury to which ss. 102.03 to 102.66 are applicable, or the adjustment of any such claim, affect the right of the injured employee or the employee's dependents to recover compensation. An employer or compensation insurer that has paid or is obligated to pay a lawful claim under this chapter shall have the same right to make a claim or maintain an action in tort against any other party for such that injury or death. If the department office pays or is obligated to pay a claim under s. 102.66 (1) or 102.81 (1), the department office shall also have the right to make a claim or maintain an action in tort against any other party for the employee's injury or death. However, each party shall give to the other parties reasonable notice and, the opportunity to join in the making of such a claim or the instituting of such an action, and the opportunity to be represented by counsel.

SB21,2873 Section 2873. 102.29 (1) (b) (intro.) of the statutes is amended to read:

SB21,1138,11 102.29 (1) (b) (intro.) If a party entitled to notice cannot be found, the department office shall become the agent of that party for the giving of a notice as required in par. (a) and the notice, when given to the department office, shall include an affidavit setting forth the facts, including the steps taken to locate that party. Each party shall have an equal voice in the prosecution of the claim, and any disputes arising shall be passed upon by the court before whom the case is pending, and if no action is pending, then by a court of record or by the department division. If notice is given as provided in par. (a), the liability of the tort-feasor shall be determined as to all parties having a right to make claim and, irrespective of whether or not all parties join in prosecuting the claim, the proceeds of the claim shall be divided as follows:

SB21,2874 Section 2874. 102.29 (1) (b) 2. of the statutes is amended to read:

SB21,1138,20 102.29 (1) (b) 2. Out of the balance remaining after the deduction and payment specified in subd. 1., the employer, the insurance carrier, or, if applicable, the uninsured employers fund or the work injury supplemental benefit fund shall be reimbursed for all payments made by the employer, insurance carrier, or department office, or which that the employer, insurance carrier, or department office may be obligated to make in the future, under this chapter, except that the employer, insurance carrier, or department office shall not be reimbursed for any payments made or to be made under s. 102.18 (1) (bp), 102.22, 102.35 (3), 102.57, or 102.60.

SB21,2875 Section 2875. 102.29 (1) (c) of the statutes is amended to read:

SB21,1139,2 102.29 (1) (c) If both the employee or the employee's personal representative or other person entitled to bring action, and the employer, compensation insurer, or department office, join in the pressing of said claim and are represented by counsel, the attorney fees allowed as a part of the costs of collection shall be, unless otherwise agreed upon, divided between the attorneys for those parties as directed by the court or by the department division.

SB21,2876 Section 2876. 102.29 (1) (d) of the statutes is amended to read:

SB21,1139,7 102.29 (1) (d) A settlement of a 3rd-party claim shall be void unless the settlement and the distribution of the proceeds of the settlement are approved by the court before whom the action is pending or, if no action is pending, then by a court of record or by the department division.

SB21,2877 Section 2877. 102.29 (4) of the statutes is amended to read:

SB21,1139,15 102.29 (4) If the employer and the 3rd party are insured by the same insurer, or by the insurers who are under common control, the employer's insurer shall promptly notify the parties in interest and the department office. If the employer has assumed the liability of the 3rd party, it the employer shall give similar notice, in default of which any settlement with an injured employee or beneficiary is void. This subsection does not prevent the employer or compensation insurer from sharing in the proceeds of any 3rd-party claim or action, as set forth as provided in sub. (1).

SB21,2878 Section 2878. 102.29 (8) of the statutes is amended to read:

SB21,1139,23 102.29 (8) No student of a public school, as described in s. 115.01 (1), or a private school, as defined in s. 115.001 (3r), or an institution of higher education who is named under s. 102.077 as an employee of the school district, private school, or institution of higher education for purposes of this chapter and who makes a claim for compensation under this chapter may make a claim or maintain an action in tort against the employer that provided the work training or work experience from which the claim arose.

SB21,2879 Section 2879. 102.30 (7) (a) of the statutes is amended to read:

SB21,1140,6 102.30 (7) (a) The department office may order direct reimbursement out of the proceeds payable under this chapter for payments made under a nonindustrial insurance policy covering the same disability and expenses compensable under s. 102.42 when the claimant consents or when it is established that the payments under the nonindustrial insurance policy were improper. No attorney fee is due with respect to that reimbursement.

SB21,2880 Section 2880. 102.31 (1) (b) of the statutes is amended to read:

SB21,1140,11 102.31 (1) (b) Except as provided in par. (c), a contract under par. (a) shall be construed to grant full coverage of all liability of the assured under this chapter unless the department office specifically consents by written order to the issuance of a contract providing divided insurance or partial insurance.

SB21,2881 Section 2881. 102.31 (2) (a) of the statutes is amended to read:

SB21,1141,9 102.31 (2) (a) No party to a contract of insurance may cancel the contract within the contract period or terminate or not renew nonrenew the contract upon the expiration date of the contract until a notice in writing is given to the other party fixing the proposed date of cancellation or declaring that the party intends to terminate or does not intend to renew nonrenew the policy contract upon expiration. Except as provided in par. (b), when an insurance company does not renew nonrenews a policy contract upon expiration, the nonrenewal is not effective until 60 days after the insurance company has given written notice of the nonrenewal to the insured employer and the department office. Cancellation or termination of a policy contract by an insurance company for any reason other than nonrenewal is not effective until 30 days after the insurance company has given written notice of the cancellation or termination to the insured employer and the department office. Notice to the department office may be given by personal service of the notice upon the department office at its office in Madison or by sending the notice to the department office in a medium approved by the department office. The department office may provide by rule that the a notice of cancellation or termination be given to the Wisconsin compensation rating bureau rather than to the department office in a medium approved by the department office after consultation with the Wisconsin compensation rating bureau. Whenever the Wisconsin compensation rating bureau receives such a notice of cancellation or termination it that bureau shall immediately notify the department office of the notice of cancellation or termination.

SB21,2882 Section 2882. 102.31 (3) of the statutes is amended to read:

SB21,1141,18 102.31 (3) The department office may examine from time to time the books and records of any insurer insuring the liability or for compensation for of an employer in this state. The department may require an insurer to designate one mailing address for use by the department and to respond to correspondence from the department within 30 days as provided in s. 601.42. Any insurer that refuses or fails to answer correspondence from the department or to allow the department to examine its books and records as required under s. 601.42 is subject to enforcement proceedings under s. 601.64.

SB21,2883 Section 2883. 102.31 (4) of the statutes is amended to read:

SB21,1142,5 102.31 (4) If any insurer authorized to transact worker's compensation insurance in this state fails to promptly pay claims for compensation for which it the insurer is liable or fails to make reports to the department office required by under s. 102.38, the department may recommend to the commissioner of insurance, with detailed reasons, that enforcement proceedings under s. 601.64 be invoked. The commissioner shall furnish a copy of the recommendation to the insurer and shall set a date for a hearing, at which both the insurer and the department shall be afforded an opportunity to present evidence. If after the hearing the commissioner finds that the insurer has failed to carry out its obligations under this chapter, the commissioner shall may institute enforcement proceedings under s. 601.64. If the commissioner does not so find, the commissioner shall dismiss the complaint.

SB21,2884 Section 2884. 102.31 (5) of the statutes is amended to read:

SB21,1142,11 102.31 (5) If any employer whom the department office has exempted from carrying the duty to carry compensation insurance arbitrarily or unreasonably refuses employment to or discharges employees an employee because of a nondisabling physical condition, the department office shall revoke the exemption of that employer.

SB21,2885 Section 2885. 102.31 (6) of the statutes is repealed.

SB21,2886 Section 2886. 102.31 (7) of the statutes is amended to read:

SB21,1142,22 102.31 (7) If the department office by one or more written orders specifically consents to the issuance of one or more contracts covering only the liability incurred on a construction project and if the construction project owner designates the insurance carrier and pays for each such contract, the construction project owner shall reimburse the department office for all costs incurred by the department office in issuing the written orders and in ensuring minimum confusion and maximum safety on the construction project. All moneys received under this subsection shall be deposited in the worker's compensation operations fund and credited to the appropriation account under s. 20.445 (1) 20.145 (6) (rb).

SB21,2887 Section 2887. 102.31 (8) of the statutes is amended to read:

SB21,1143,9 102.31 (8) The Wisconsin compensation rating bureau shall provide the department office with any information that the department office may request relating to worker's compensation insurance coverage, including the names of employers insured and any insured employer's address, business status, type and date of coverage, manual premium code, and policy information including policy numbers, cancellations, terminations, endorsements, and reinstatement dates. The department office may enter into contracts with the Wisconsin compensation rating bureau to share the costs of data processing and other services. No information obtained by the department office under this subsection may be made public by the department office except as authorized by the Wisconsin compensation rating bureau.

SB21,2888 Section 2888. 102.315 (4) of the statutes is amended to read:

SB21,1144,2 102.315 (4) Master policy; approval required. An employee leasing company may insure its liability under sub. (2) by obtaining a master policy that has been approved by the commissioner of insurance as provided in this subsection. The commissioner of insurance may approve the issuance of a master policy if the insurer proposing to issue the master policy submits a filing to the bureau showing that the insurer has the technological capacity and operation capability to provide to the bureau information, including unit statistical data, information concerning proof of coverage and cancellation, termination, and nonrenewal of coverage, and any other information that the bureau may require, at the client level and in a format required by the bureau and the bureau submits the filing to the commissioner of insurance for approval under s. 626.13. A master policy filing under this subsection shall also establish basic manual rules governing the issuance of an insurance policy covering the leased employees of a divided workforce that are consistent with sub. (6) and the cancellation, termination, and nonrenewal of policies that are consistent with sub. (10). On approval by the commissioner of insurance of a master policy filing, an insurer may issue a master policy to an employee leasing company insuring the liability of the employee leasing company under sub. (2).

SB21,2889 Section 2889. 102.315 (5) (b) (intro.) of the statutes is amended to read:

SB21,1144,7 102.315 (5) (b) (intro.) Within 30 days after the effective date of an employee leasing agreement with a small client that is covered under a master policy under par. (a), the employee leasing company shall report to the department office all of the following information:

SB21,2890 Section 2890. 102.315 (5) (c) of the statutes is amended to read:

SB21,1144,17 102.315 (5) (c) Within 30 days after the effective date of coverage of a small client under a master policy under par. (a), the insurer or, if authorized by the insurer, the employee leasing company shall file proof of that coverage with the department office. Coverage of a small client under a master policy becomes binding when the insurer or employee leasing company files proof of that coverage under this paragraph or provides notice of coverage to the small client, whichever occurs first. Nothing in this paragraph requires an employee leasing company or an employee of an employee leasing company to be licensed as an insurance intermediary under ch. 628.

SB21,2891 Section 2891. 102.315 (6) (a) of the statutes is amended to read:

SB21,1145,3 102.315 (6) (a) If a client notifies the department office as provided under par. (b) of its intent to have a divided workforce, an insurer may issue a worker's compensation insurance policy covering only the leased employees of the client. An insurer that issues a policy covering only the leased employees of a client is not liable under s. 102.03 for any compensation payable under this chapter to an employee of the client who is not a leased employee unless the insurer also issues a policy covering that employee. A client that has a divided workforce shall insure its employees who are not leased employees in the voluntary market and may not insure those employees under the mandatory risk-sharing plan under s. 619.01 unless the leased employees of the client are covered under that plan.

SB21,2892 Section 2892. 102.315 (6) (b) (intro.) of the statutes is amended to read:

SB21,1145,7 102.315 (6) (b) (intro.) A client that intends to have a divided workforce shall notify the department office of that intent on a form prescribed by the department office that includes all of the following:

SB21,2893 Section 2893. 102.315 (6) (b) 1. of the statutes is amended to read:

SB21,1145,12 102.315 (6) (b) 1. The names and mailing addresses of the client and the employee leasing company, the effective date of the employee leasing agreement, a description of the employees of the client who are not leased employees, and such other information as the department office may require.

SB21,2894 Section 2894. 102.315 (6) (b) 3. of the statutes is amended to read:

SB21,1145,20 102.315 (6) (b) 3. An agreement by the client to assume full responsibility to immediately pay all compensation and other payments payable under this chapter as may be required by the department office should a dispute arise between 2 or more insurers as to liability under this chapter for an injury sustained while a divided workforce plan is in effect, pending final resolution of that dispute. This subdivision does not preclude a client from insuring that responsibility in an insurer authorized to do business in this state.

SB21,2895 Section 2895. 102.315 (6) (d) of the statutes is amended to read:

SB21,1145,24 102.315 (6) (d) When the department office receives a notification under par. (b), the department office shall immediately provide a copy of the notification to the bureau.

SB21,2896 Section 2896. 102.315 (6) (e) 1. of the statutes is amended to read:

SB21,1146,4 102.315 (6) (e) 1. If a client intends to terminate a divided workforce plan, the client shall notify the department office of that intent on a form prescribed by the department office. Termination of a divided workforce plan by a client is not effective until 10 days after notice of the termination is received by the department office.

SB21,2897 Section 2897. 102.315 (6) (e) 2. of the statutes is amended to read:

SB21,1146,13 102.315 (6) (e) 2. If an insurer cancels, terminates, or does not renew nonrenews a worker's compensation insurance policy issued under a divided workforce plan that covers in the voluntary market the employees of a client who are not leased employees, the divided workforce plan is terminated on the effective date of the cancellation, termination, or nonrenewal of the policy, unless the client submits evidence under par. (c) that both the leased employees of the client and the employees of the client who are not leased employees are covered under a mandatory risk-sharing plan.

SB21,2898 Section 2898. 102.315 (6) (e) 3. of the statutes is amended to read:

SB21,1146,20 102.315 (6) (e) 3. If an insurer cancels, terminates, or does not renew nonrenews a worker's compensation insurance policy issued under a divided workforce plan that covers under the mandatory risk-sharing plan under s. 619.01 the employees of a client who are not leased employees, the divided workforce plan is terminated on the effective date of the cancellation, termination, or nonrenewal of the policy.

SB21,2899 Section 2899. 102.315 (9) (a) of the statutes is amended to read:

SB21,1146,25 102.315 (9) (a) An insurer that issues a policy under sub. (3), (4), or (5) (a) may charge a premium for coverage under that policy that complies with the applicable classifications, rules, rates, and rating plans filed with and approved by the commissioner of insurance under s. 626.13.

SB21,2900 Section 2900. 102.315 (10) (a) 2. of the statutes is amended to read:

SB21,1147,7 102.315 (10) (a) 2. The insureds under a policy described in subd. 1. may cancel the policy during the policy period if both the employee leasing company and the client agree to the cancellation, the cancellation is confirmed by the employee leasing company promptly providing written confirmation of the cancellation to the client or by the client agreeing to the cancellation in writing, and the insurer provides written notice of the cancellation to the department office as required under s. 102.31 (2) (a).

SB21,2901 Section 2901. 102.315 (10) (a) 3. of the statutes is amended to read:

SB21,1147,22 102.315 (10) (a) 3. Subject to subd. 4., an insurer may cancel, terminate, or nonrenew a policy described in subd. 1. by providing written notice of the cancellation, termination, or nonrenewal to the insured employee leasing company and to the department office as required under s. 102.31 (2) (a) and by providing that notice to the insured client. The insurer is not required to state in the notice to the insured client the facts on which the decision to cancel, terminate, or nonrenew the policy is based. Except as provided in s. 102.31 (2) (b), cancellation or termination of a policy under this subdivision for any reason other than nonrenewal is not effective until 30 days after the insurer has provided written notice of the cancellation or termination to the insured employee leasing company, the insured client, and the department office. Except as provided in s. 102.31 (2) (b), nonrenewal of a policy under this subdivision is not effective until 60 days after the insurer has provided written notice of the cancellation or termination to the insured employee leasing company, the insured client, and the department office.

SB21,2902 Section 2902. 102.315 (10) (a) 4. of the statutes is amended to read:

SB21,1148,10 102.315 (10) (a) 4. If an employee leasing company terminates an employee leasing agreement with a client in its entirety, an insurer may cancel or terminate a policy described in subd. 1. covering that client during the policy period by providing written notice of the cancellation or termination to the insured employee leasing company and the department office as required under s. 102.31 (2) (a) and by providing that notice to the insured client. The insurer shall state in the notice to the insured client that the policy is being cancelled or terminated due to the termination of the employee leasing agreement. Except as provided in s. 102.31 (2) (b), cancellation or termination of a policy under this subdivision is not effective until 30 days after the insurer has provided written notice of the cancellation or termination to the insured employee leasing company, the insured client, and the department office.

SB21,2903 Section 2903. 102.315 (10) (b) 2. of the statutes is amended to read: