IN
Indiana Senate Bill SB0264

Indiana 2024 Regular Session

Indiana Senate Bill SB0264 Compare Versions

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1-*SB0264.1*
2-January 26, 2024
1+
2+Introduced Version
33 SENATE BILL No. 264
44 _____
5-DIGEST OF SB 264 (Updated January 24, 2024 11:30 am - DI 153)
6-Citations Affected: IC 22-3; IC 34-30.
5+DIGEST OF INTRODUCED BILL
6+Citations Affected: IC 22-3.
77 Synopsis: Religious exemption from worker's compensation. Provides
88 an exemption from worker's compensation and occupational diseases
99 coverage for a member of certain religious sects or a division of a
1010 religious sect who meets certain requirements and obtains a certificate
1111 of exemption (certificate) from the worker's compensation board
1212 (board). Provides that if certain information about an individual who
1313 holds a certificate is no longer true: (1) the individual and the
1414 individual's employer must take certain steps; and (2) the certificate is
1515 no longer effective. Makes conforming changes.
1616 Effective: July 1, 2024.
1717 Bassler
1818 January 16, 2024, read first time and referred to Committee on Pensions and Labor.
19-January 25, 2024, amended, reported favorably — Do Pass.
20-SB 264—LS 6545/DI 153 January 26, 2024
19+2024 IN 264—LS 6545/DI 153 Introduced
2120 Second Regular Session of the 123rd General Assembly (2024)
2221 PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
2322 Constitution) is being amended, the text of the existing provision will appear in this style type,
2423 additions will appear in this style type, and deletions will appear in this style type.
2524 Additions: Whenever a new statutory provision is being enacted (or a new constitutional
2625 provision adopted), the text of the new provision will appear in this style type. Also, the
2726 word NEW will appear in that style type in the introductory clause of each SECTION that adds
2827 a new provision to the Indiana Code or the Indiana Constitution.
2928 Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts
3029 between statutes enacted by the 2023 Regular Session of the General Assembly.
3130 SENATE BILL No. 264
3231 A BILL FOR AN ACT to amend the Indiana Code concerning labor
3332 and safety.
3433 Be it enacted by the General Assembly of the State of Indiana:
3534 1 SECTION 1. IC 22-3-2-9, AS AMENDED BY P.L.201-2005,
3635 2 SECTION 2, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
3736 3 JULY 1, 2024]: Sec. 9. (a) IC 22-3-2 through IC 22-3-6 shall not apply
3837 4 to:
3938 5 (1) casual laborers (as defined in IC 22-3-6-1);
4039 6 (2) farm or agricultural employees;
4140 7 (3) household employees; or
4241 8 (4) a person who enters into an independent contractor agreement
4342 9 with a nonprofit corporation that is recognized as tax exempt
4443 10 under Section 501(c)(3) of the Internal Revenue Code (as defined
4544 11 in IC 6-3-1-11(a)) to perform youth coaching services on a
4645 12 part-time basis; or
4746 13 (5) an individual who is exempt under IC 22-3-5-1.5 from
4847 14 compliance with IC 22-3-2 through IC 22-3-6.
4948 15 IC 22-3-2 through IC 22-3-6 do not apply to the employers or
5049 16 contractors of the persons listed in this subsection.
5150 17 (b) An employer who is exempt under this section from the
52-SB 264—LS 6545/DI 153 2
51+2024 IN 264—LS 6545/DI 153 2
5352 1 operation of the compensation provisions of this chapter may at any
5453 2 time waive such exemption and thereby accept the provisions of this
5554 3 chapter by giving notice as provided in subsection (c).
5655 4 (c) The notice of acceptance referred to in subsection (b) shall be
5756 5 given thirty (30) days prior to any accident resulting in injury or death,
5857 6 provided that if any such injury occurred less than thirty (30) days after
5958 7 the date of employment, notice of acceptance given at the time of
6059 8 employment shall be sufficient notice thereof. The notice shall be in
6160 9 writing or print in a substantial form prescribed by the worker's
6261 10 compensation board and shall be given by the employer by posting the
6362 11 same in a conspicuous place in the plant, shop, office, room, or place
6463 12 where the employee is employed, or by serving it personally upon the
6564 13 employee; and shall be given by the employee by sending the same in
6665 14 a registered letter addressed to the employer at the employer's last
6766 15 known residence or place of business, or by giving it personally to the
6867 16 employer, or any of the employer's agents upon whom a summons in
6968 17 civil actions may be served under the laws of the state.
7069 18 (d) A copy of the notice in prescribed form shall also be filed with
7170 19 the worker's compensation board, within five (5) days after its service
7271 20 in such manner upon the employee or employer.
7372 21 SECTION 2. IC 22-3-5-1.5 IS ADDED TO THE INDIANA CODE
7473 22 AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
7574 23 1, 2024]: Sec. 1.5. (a) An individual may file with the worker's
7675 24 compensation board, in a form prescribed by the board, an
7776 25 application for a certificate of exemption from compliance with
7877 26 IC 22-3-2 through IC 22-3-6.
7978 27 (b) An application filed under this section must include the
8079 28 following information:
8180 29 (1) The individual's name, address, date of birth, and Social
8281 30 Security number.
8382 31 (2) The name of the religious sect or division of a religious sect
8483 32 to which the individual belongs.
8584 33 (3) A verified affidavit signed by the individual stating that:
8685 34 (A) the individual is a member of the sect or division
8786 35 described in subdivision (2);
8887 36 (B) the individual adheres to the sect's or division's
8988 37 established tenets or teachings that conscientiously oppose
9089 38 the acceptance of public or private insurance benefits as
9190 39 the result of injury, disability, or death, or for medical care
9291 40 for injuries or illnesses, including the benefits from any
9392 41 insurance system established by the federal Social Security
9493 42 Act (42 U.S.C. 301 et seq.);
95-SB 264—LS 6545/DI 153 3
94+2024 IN 264—LS 6545/DI 153 3
9695 1 (C) members of the sect or division have a method for
9796 2 sharing the costs of work related medical expenses and loss
9897 3 of income; and
9998 4 (D) the individual knowingly and voluntarily waives the
10099 5 individual's rights to all benefits available to the individual
101100 6 under IC 22-3-2 through IC 22-3-6.
102101 7 (4) A statement by a leader of the religious sect or division of
103102 8 the religious sect described in subdivision (2) that the
104103 9 individual is a member of the sect or division.
105104 10 (c) A copy of an approved Internal Revenue Service Form 4029,
106105 11 Application for Exemption from Social Security and Medicare
107106 12 Taxes and Waiver of Benefits, or a successor form, for the
108107 13 individual must be filed with an application filed under this section.
109108 14 (d) The board shall issue a certificate of exemption not later
110109 15 than forty-five (45) days after the board receives a completed
111110 16 application and the form described in subsection (c).
112111 17 (e) A certificate of exemption issued under this section is
113112 18 effective on the date the certificate is issued and remains in effect
114113 19 until the date provided in subsection (f)(3).
115114 20 (f) If information contained in an affidavit described in
116115 21 subsection (b)(3) is no longer true, the following apply:
117116 22 (1) Not later than seven (7) days after the date on which the
118117 23 change occurs, the individual shall notify the individual's
119118 24 employer in writing of the change.
120119 25 (2) Not later than thirty (30) days after the date on which the
121120 26 employer receives the notice described in subdivision (1), the
122121 27 individual and the individual's employer shall each notify the
123122 28 board in writing of the change.
124123 29 (3) Beginning on the date the individual and the individual's
125124 30 employer send to the board the notice described in subdivision
126125 31 (2), the individual and the individual's employer shall each
127126 32 comply with IC 22-3-2 through IC 22-3-6.
128127 33 (g) The board shall maintain a data base consisting of the
129128 34 certificates issued under this section and on request verify that a
130129 35 certificate is on file.
131-36 (h) An employer of an individual holding an effective certificate
132-37 of compliance is immune from civil liability in an action brought by
133-38 the individual if the claim is based on personal injury or death by
134-39 accident arising out of and in the course of the employment. This
135-40 subsection does not apply if the conduct constitutes gross
136-41 negligence or intentional, wanton, or willful misconduct.
137-42 SECTION 3. IC 22-3-6-1, AS AMENDED BY P.L.160-2022,
138-SB 264—LS 6545/DI 153 4
139-1 SECTION 5, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
140-2 JULY 1, 2024]: Sec. 1. In IC 22-3-2 through IC 22-3-6, unless the
141-3 context otherwise requires:
142-4 (a) "Employer" includes the state and any political subdivision, any
143-5 municipal corporation within the state, any individual or the legal
144-6 representative of a deceased individual, firm, association, limited
145-7 liability company, limited liability partnership, or corporation or the
146-8 receiver or trustee of the same, using the services of another for pay. A
147-9 corporation, limited liability company, or limited liability partnership
148-10 that controls the activities of another corporation, limited liability
149-11 company, or limited liability partnership, or a corporation and a limited
150-12 liability company or a corporation and a limited liability partnership
151-13 that are commonly owned entities, or the controlled corporation,
152-14 limited liability company, limited liability partnership, or commonly
153-15 owned entities, and a parent corporation and its subsidiaries shall each
154-16 be considered joint employers of the corporation's, the controlled
155-17 corporation's, the limited liability company's, the limited liability
156-18 partnership's, the commonly owned entities', the parent's, or the
157-19 subsidiaries' employees for purposes of IC 22-3-2-6 and IC 22-3-3-31.
158-20 Both a lessor and a lessee of employees shall each be considered joint
159-21 employers of the employees provided by the lessor to the lessee for
160-22 purposes of IC 22-3-2-6 and IC 22-3-3-31. If the employer is insured,
161-23 the term includes the employer's insurer so far as applicable. However,
162-24 the inclusion of an employer's insurer within this definition does not
163-25 allow an employer's insurer to avoid payment for services rendered to
164-26 an employee with the approval of the employer. The term also includes
165-27 an employer that provides on-the-job training under the federal School
166-28 to Work Opportunities Act (20 U.S.C. 6101 et seq.) to the extent set
167-29 forth in IC 22-3-2-2.5. The term does not include a nonprofit
168-30 corporation that is recognized as tax exempt under Section 501(c)(3)
169-31 of the Internal Revenue Code (as defined in IC 6-3-1-11(a)) to the
170-32 extent the corporation enters into an independent contractor agreement
171-33 with a person for the performance of youth coaching services on a
172-34 part-time basis.
173-35 (b) "Employee" means every person, including a minor, in the
174-36 service of another, under any contract of hire or apprenticeship, written
175-37 or implied, except one whose employment is both casual and not in the
176-38 usual course of the trade, business, occupation, or profession of the
177-39 employer.
178-40 (1) An executive officer elected or appointed and empowered in
179-41 accordance with the charter and bylaws of a corporation, other
180-42 than a municipal corporation or governmental subdivision or a
181-SB 264—LS 6545/DI 153 5
182-1 charitable, religious, educational, or other nonprofit corporation,
183-2 is an employee of the corporation under IC 22-3-2 through
184-3 IC 22-3-6. An officer of a corporation who is an employee of the
185-4 corporation under IC 22-3-2 through IC 22-3-6 may elect not to
186-5 be an employee of the corporation under IC 22-3-2 through
187-6 IC 22-3-6. An officer of a corporation who is also an owner of any
188-7 interest in the corporation may elect not to be an employee of the
189-8 corporation under IC 22-3-2 through IC 22-3-6. If an officer
190-9 makes this election, the officer must serve written notice of the
191-10 election on the corporation's insurance carrier and the board. An
192-11 officer of a corporation may not be considered to be excluded as
193-12 an employee under IC 22-3-2 through IC 22-3-6 until the notice
194-13 is received by the insurance carrier and the board.
195-14 (2) An executive officer of a municipal corporation or other
196-15 governmental subdivision or of a charitable, religious,
197-16 educational, or other nonprofit corporation may, notwithstanding
198-17 any other provision of IC 22-3-2 through IC 22-3-6, be brought
199-18 within the coverage of its insurance contract by the corporation by
200-19 specifically including the executive officer in the contract of
201-20 insurance. The election to bring the executive officer within the
202-21 coverage shall continue for the period the contract of insurance is
203-22 in effect, and during this period, the executive officers thus
204-23 brought within the coverage of the insurance contract are
205-24 employees of the corporation under IC 22-3-2 through IC 22-3-6.
206-25 (3) Any reference to an employee who has been injured, when the
207-26 employee is dead, also includes the employee's legal
208-27 representatives, dependents, and other persons to whom
209-28 compensation may be payable.
210-29 (4) An owner of a sole proprietorship may elect to include the
211-30 owner as an employee under IC 22-3-2 through IC 22-3-6 if the
212-31 owner is actually engaged in the proprietorship business. If the
213-32 owner makes this election, the owner must serve upon the owner's
214-33 insurance carrier and upon the board written notice of the
215-34 election. No owner of a sole proprietorship may be considered an
216-35 employee under IC 22-3-2 through IC 22-3-6 until the notice has
217-36 been received. If the owner of a sole proprietorship:
218-37 (A) is an independent contractor in the construction trades and
219-38 does not make the election provided under this subdivision,
220-39 the owner must obtain a certificate of exemption under
221-40 IC 22-3-2-14.5; or
222-41 (B) is an independent contractor and does not make the
223-42 election provided under this subdivision, the owner may obtain
224-SB 264—LS 6545/DI 153 6
225-1 a certificate of exemption under IC 22-3-2-14.5.
226-2 (5) A partner in a partnership may elect to include the partner as
227-3 an employee under IC 22-3-2 through IC 22-3-6 if the partner is
228-4 actually engaged in the partnership business. If a partner makes
229-5 this election, the partner must serve upon the partner's insurance
230-6 carrier and upon the board written notice of the election. No
231-7 partner may be considered an employee under IC 22-3-2 through
232-8 IC 22-3-6 until the notice has been received. If a partner in a
233-9 partnership:
234-10 (A) is an independent contractor in the construction trades and
235-11 does not make the election provided under this subdivision,
236-12 the partner must obtain a certificate of exemption under
237-13 IC 22-3-2-14.5; or
238-14 (B) is an independent contractor and does not make the
239-15 election provided under this subdivision, the partner may
240-16 obtain a certificate of exemption under IC 22-3-2-14.5.
241-17 (6) Real estate professionals are not employees under IC 22-3-2
242-18 through IC 22-3-6 if:
243-19 (A) they are licensed real estate agents;
244-20 (B) substantially all their remuneration is directly related to
245-21 sales volume and not the number of hours worked; and
246-22 (C) they have written agreements with real estate brokers
247-23 stating that they are not to be treated as employees for tax
248-24 purposes.
249-25 (7) A person is an independent contractor and not an employee
250-26 under IC 22-3-2 through IC 22-3-6 if the person is an independent
251-27 contractor under the guidelines of the United States Internal
252-28 Revenue Service.
253-29 (8) An owner-operator that provides a motor vehicle and the
254-30 services of a driver under a written contract that is subject to
255-31 IC 8-2.1-24-23, 45 IAC 16-1-13, or 49 CFR 376 to a motor carrier
256-32 is not an employee of the motor carrier for purposes of IC 22-3-2
257-33 through IC 22-3-6. The owner-operator may elect to be covered
258-34 and have the owner-operator's drivers covered under a worker's
259-35 compensation insurance policy or authorized self-insurance that
260-36 insures the motor carrier if the owner-operator pays the premiums
261-37 as requested by the motor carrier. An election by an
262-38 owner-operator under this subdivision does not terminate the
263-39 independent contractor status of the owner-operator for any
264-40 purpose other than the purpose of this subdivision.
265-41 (9) A member or manager in a limited liability company may elect
266-42 to include the member or manager as an employee under
267-SB 264—LS 6545/DI 153 7
268-1 IC 22-3-2 through IC 22-3-6 if the member or manager is actually
269-2 engaged in the limited liability company business. If a member or
270-3 manager makes this election, the member or manager must serve
271-4 upon the member's or manager's insurance carrier and upon the
272-5 board written notice of the election. A member or manager may
273-6 not be considered an employee under IC 22-3-2 through IC 22-3-6
274-7 until the notice has been received.
275-8 (10) An unpaid participant under the federal School to Work
276-9 Opportunities Act (20 U.S.C. 6101 et seq.) is an employee to the
277-10 extent set forth in IC 22-3-2-2.5.
278-11 (11) A person who enters into an independent contractor
279-12 agreement with a nonprofit corporation that is recognized as tax
280-13 exempt under Section 501(c)(3) of the Internal Revenue Code (as
281-14 defined in IC 6-3-1-11(a)) to perform youth coaching services on
282-15 a part-time basis is not an employee for purposes of IC 22-3-2
283-16 through IC 22-3-6.
284-17 (12) An individual who is not an employee of the state or a
285-18 political subdivision is considered to be a temporary employee of
286-19 the state for purposes of IC 22-3-2 through IC 22-3-6 while
287-20 serving as a member of a mobile support unit on duty for training,
288-21 an exercise, or a response, as set forth in IC 10-14-3-19(c)(2)(B).
289-22 (13) A driver providing drive away operations is an independent
290-23 contractor and not an employee when:
291-24 (A) the vehicle being driven is the commodity being delivered;
292-25 and
293-26 (B) the driver has entered into an agreement with the party
294-27 arranging for the transportation that specifies the driver is an
295-28 independent contractor and not an employee.
296-29 (14) An individual who is a member of a religious sect or a
297-30 division of a religious sect and holds an effective certificate of
298-31 exemption from compliance under IC 22-3-5-1.5 is not
299-32 considered an employee for purposes of IC 22-3-2 through
300-33 IC 22-3-6.
301-34 (c) "Minor" means an individual who has not reached seventeen
302-35 (17) years of age.
303-36 (1) Unless otherwise provided in this subsection, a minor
304-37 employee shall be considered as being of full age for all purposes
305-38 of IC 22-3-2 through IC 22-3-6.
306-39 (2) If the employee is a minor who, at the time of the accident, is
307-40 employed, required, suffered, or permitted to work in violation of
308-41 IC 22-2-18-40 (before its expiration on June 30, 2021) and
309-42 IC 22-2-18.1-23, the amount of compensation and death benefits,
310-SB 264—LS 6545/DI 153 8
311-1 as provided in IC 22-3-2 through IC 22-3-6, shall be double the
312-2 amount which would otherwise be recoverable. The insurance
313-3 carrier shall be liable on its policy for one-half (1/2) of the
314-4 compensation or benefits that may be payable on account of the
315-5 injury or death of the minor, and the employer shall be liable for
316-6 the other one-half (1/2) of the compensation or benefits. If the
317-7 employee is a minor who is not less than sixteen (16) years of age
318-8 and who has not reached seventeen (17) years of age and who at
319-9 the time of the accident is employed, suffered, or permitted to
320-10 work at any occupation which is not prohibited by law, this
321-11 subdivision does not apply.
322-12 (3) A minor employee who, at the time of the accident, is a
323-13 student performing services for an employer as part of an
324-14 approved program under IC 20-37-2-7 shall be considered a
325-15 full-time employee for the purpose of computing compensation
326-16 for permanent impairment under IC 22-3-3-10. The average
327-17 weekly wages for such a student shall be calculated as provided
328-18 in subsection (d)(4).
329-19 (4) The rights and remedies granted in this subsection to a minor
330-20 under IC 22-3-2 through IC 22-3-6 on account of personal injury
331-21 or death by accident shall exclude all rights and remedies of the
332-22 minor, the minor's parents, or the minor's personal
333-23 representatives, dependents, or next of kin at common law,
334-24 statutory or otherwise, on account of the injury or death. This
335-25 subsection does not apply to minors who have reached seventeen
336-26 (17) years of age.
337-27 (d) "Average weekly wages" means the earnings of the injured
338-28 employee in the employment in which the employee was working at the
339-29 time of the injury during the period of fifty-two (52) weeks
340-30 immediately preceding the date of injury, divided by fifty-two (52),
341-31 except as follows:
342-32 (1) If the injured employee lost seven (7) or more calendar days
343-33 during this period, although not in the same week, then the
344-34 earnings for the remainder of the fifty-two (52) weeks shall be
345-35 divided by the number of weeks and parts thereof remaining after
346-36 the time lost has been deducted.
347-37 (2) Where the employment prior to the injury extended over a
348-38 period of less than fifty-two (52) weeks, the method of dividing
349-39 the earnings during that period by the number of weeks and parts
350-40 thereof during which the employee earned wages shall be
351-41 followed, if results just and fair to both parties will be obtained.
352-42 Where by reason of the shortness of the time during which the
353-SB 264—LS 6545/DI 153 9
354-1 employee has been in the employment of the employee's employer
355-2 or of the casual nature or terms of the employment it is
356-3 impracticable to compute the average weekly wages, as defined
357-4 in this subsection, regard shall be had to the average weekly
358-5 amount which during the fifty-two (52) weeks previous to the
359-6 injury was being earned by a person in the same grade employed
360-7 at the same work by the same employer or, if there is no person so
361-8 employed, by a person in the same grade employed in the same
362-9 class of employment in the same district.
363-10 (3) Wherever allowances of any character made to an employee
364-11 in lieu of wages are a specified part of the wage contract, they
365-12 shall be deemed a part of the employee's earnings.
366-13 (4) In computing the average weekly wages to be used in
367-14 calculating an award for permanent impairment under
368-15 IC 22-3-3-10 for a student employee in an approved training
369-16 program under IC 20-37-2-7, the following formula shall be used.
370-17 Calculate the product of:
371-18 (A) the student employee's hourly wage rate; multiplied by
372-19 (B) forty (40) hours.
373-20 The result obtained is the amount of the average weekly wages for
374-21 the student employee.
375-22 (e) "Injury" and "personal injury" mean only injury by accident
376-23 arising out of and in the course of the employment and do not include
377-24 a disease in any form except as it results from the injury.
378-25 (f) "Billing review service" refers to a person or an entity that
379-26 reviews a medical service provider's bills or statements for the purpose
380-27 of determining pecuniary liability. The term includes an employer's
381-28 worker's compensation insurance carrier if the insurance carrier
382-29 performs such a review.
383-30 (g) "Billing review standard" means the data used by a billing
384-31 review service to determine pecuniary liability.
385-32 (h) "Community" means a geographic service area based on ZIP
386-33 code districts defined by the United States Postal Service according to
387-34 the following groupings:
388-35 (1) The geographic service area served by ZIP codes with the first
389-36 three (3) digits 463 and 464.
390-37 (2) The geographic service area served by ZIP codes with the first
391-38 three (3) digits 465 and 466.
392-39 (3) The geographic service area served by ZIP codes with the first
393-40 three (3) digits 467 and 468.
394-41 (4) The geographic service area served by ZIP codes with the first
395-42 three (3) digits 469 and 479.
396-SB 264—LS 6545/DI 153 10
397-1 (5) The geographic service area served by ZIP codes with the first
398-2 three (3) digits 460, 461 (except 46107), and 473.
399-3 (6) The geographic service area served by the 46107 ZIP code and
400-4 ZIP codes with the first three (3) digits 462.
401-5 (7) The geographic service area served by ZIP codes with the first
402-6 three (3) digits 470, 471, 472, 474, and 478.
403-7 (8) The geographic service area served by ZIP codes with the first
404-8 three (3) digits 475, 476, and 477.
405-9 (i) "Medical service provider" refers to a person or an entity that
406-10 provides services or products to an employee under IC 22-3-2 through
407-11 IC 22-3-6. Except as otherwise provided in IC 22-3-2 through
408-12 IC 22-3-6, the term includes a medical service facility.
409-13 (j) "Medical service facility" means any of the following that
410-14 provides a service or product under IC 22-3-2 through IC 22-3-6 and
411-15 uses the CMS 1450 (UB-04) form or the CMS 1500 (HCFA-1500)
412-16 form for Medicare reimbursement:
413-17 (1) An ambulatory outpatient surgical center (as defined in
414-18 IC 16-18-2-14).
415-19 (2) A hospital (as defined in IC 16-18-2-179).
416-20 (3) A hospital based health facility (as defined in
417-21 IC 16-18-2-180).
418-22 (4) A medical center (as defined in IC 16-18-2-223.4).
419-23 (k) "Pecuniary liability" means the responsibility of an employer or
420-24 the employer's insurance carrier for the payment of the charges for each
421-25 specific service or product for human medical treatment provided
422-26 under IC 22-3-2 through IC 22-3-6, as follows:
423-27 (1) This subdivision applies before July 1, 2014, to all medical
424-28 service providers, and after June 30, 2014, to a medical service
425-29 provider that is not a medical service facility. Payment of the
426-30 charges in a defined community, equal to or less than the charges
427-31 made by medical service providers at the eightieth percentile in
428-32 the same community for like services or products.
429-33 (2) Payment of the charges in a reasonable amount, which is
430-34 established by payment of one (1) of the following:
431-35 (A) The amount negotiated at any time between the medical
432-36 service facility and any of the following, if an amount has been
433-37 negotiated:
434-38 (i) The employer.
435-39 (ii) The employer's insurance carrier.
436-40 (iii) A billing review service on behalf of a person described
437-41 in item (i) or (ii).
438-42 (iv) A direct provider network that has contracted with a
439-SB 264—LS 6545/DI 153 11
440-1 person described in item (i) or (ii).
441-2 (B) Two hundred percent (200%) of the amount that would be
442-3 paid to the medical service facility on the same date for the
443-4 same service or product under the medical service facility's
444-5 Medicare reimbursement rate, if, after conducting the
445-6 negotiations described in clause (A), an agreement has not
446-7 been reached.
447-8 (l) "Service or product" or "services and products" refers to medical,
448-9 hospital, surgical, or nursing service, treatment, and supplies provided
449-10 under IC 22-3-2 through IC 22-3-6.
450-11 SECTION 4. IC 22-3-7-9, AS AMENDED BY P.L.160-2022,
451-12 SECTION 6, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
452-13 JULY 1, 2024]: Sec. 9. (a) As used in this chapter, "employer" includes
453-14 the state and any political subdivision, any municipal corporation
454-15 within the state, any individual or the legal representative of a deceased
455-16 individual, firm, association, limited liability company, limited liability
456-17 partnership, or corporation or the receiver or trustee of the same, using
457-18 the services of another for pay. A corporation, limited liability
458-19 company, or limited liability partnership that controls the activities of
459-20 another corporation, limited liability company, or limited liability
460-21 partnership, or a corporation and a limited liability company or a
461-22 corporation and a limited liability partnership that are commonly
462-23 owned entities, or the controlled corporation, limited liability company,
463-24 limited liability partnership, or commonly owned entities, and a parent
464-25 corporation and its subsidiaries shall each be considered joint
465-26 employers of the corporation's, the controlled corporation's, the limited
466-27 liability company's, the limited liability partnership's, the commonly
467-28 owned entities', the parent's, or the subsidiaries' employees for purposes
468-29 of sections 6 and 33 of this chapter. Both a lessor and a lessee of
469-30 employees shall each be considered joint employers of the employees
470-31 provided by the lessor to the lessee for purposes of sections 6 and 33
471-32 of this chapter. The term also includes an employer that provides
472-33 on-the-job training under the federal School to Work Opportunities Act
473-34 (20 U.S.C. 6101 et seq.) to the extent set forth under section 2.5 of this
474-35 chapter. If the employer is insured, the term includes the employer's
475-36 insurer so far as applicable. However, the inclusion of an employer's
476-37 insurer within this definition does not allow an employer's insurer to
477-38 avoid payment for services rendered to an employee with the approval
478-39 of the employer. The term does not include a nonprofit corporation that
479-40 is recognized as tax exempt under Section 501(c)(3) of the Internal
480-41 Revenue Code (as defined in IC 6-3-1-11(a)) to the extent the
481-42 corporation enters into an independent contractor agreement with a
482-SB 264—LS 6545/DI 153 12
483-1 person for the performance of youth coaching services on a part-time
484-2 basis.
485-3 (b) As used in this chapter, "employee" means every person,
486-4 including a minor, in the service of another, under any contract of hire
487-5 or apprenticeship written or implied, except one whose employment is
488-6 both casual and not in the usual course of the trade, business,
489-7 occupation, or profession of the employer. For purposes of this chapter
490-8 the following apply:
491-9 (1) Any reference to an employee who has suffered disablement,
492-10 when the employee is dead, also includes the employee's legal
493-11 representative, dependents, and other persons to whom
494-12 compensation may be payable.
495-13 (2) An owner of a sole proprietorship may elect to include the
496-14 owner as an employee under this chapter if the owner is actually
497-15 engaged in the proprietorship business. If the owner makes this
498-16 election, the owner must serve upon the owner's insurance carrier
499-17 and upon the board written notice of the election. No owner of a
500-18 sole proprietorship may be considered an employee under this
501-19 chapter unless the notice has been received. If the owner of a sole
502-20 proprietorship:
503-21 (A) is an independent contractor in the construction trades and
504-22 does not make the election provided under this subdivision,
505-23 the owner must obtain a certificate of exemption under section
506-24 34.5 of this chapter; or
507-25 (B) is an independent contractor and does not make the
508-26 election provided under this subdivision, the owner may obtain
509-27 a certificate of exemption under section 34.5 of this chapter.
510-28 (3) A partner in a partnership may elect to include the partner as
511-29 an employee under this chapter if the partner is actually engaged
512-30 in the partnership business. If a partner makes this election, the
513-31 partner must serve upon the partner's insurance carrier and upon
514-32 the board written notice of the election. No partner may be
515-33 considered an employee under this chapter until the notice has
516-34 been received. If a partner in a partnership:
517-35 (A) is an independent contractor in the construction trades and
518-36 does not make the election provided under this subdivision,
519-37 the partner must obtain a certificate of exemption under
520-38 section 34.5 of this chapter; or
521-39 (B) is an independent contractor and does not make the
522-40 election provided under this subdivision, the partner may
523-41 obtain a certificate of exemption under section 34.5 of this
524-42 chapter.
525-SB 264—LS 6545/DI 153 13
526-1 (4) Real estate professionals are not employees under this chapter
527-2 if:
528-3 (A) they are licensed real estate agents;
529-4 (B) substantially all their remuneration is directly related to
530-5 sales volume and not the number of hours worked; and
531-6 (C) they have written agreements with real estate brokers
532-7 stating that they are not to be treated as employees for tax
533-8 purposes.
534-9 (5) A person is an independent contractor in the construction
535-10 trades and not an employee under this chapter if the person is an
536-11 independent contractor under the guidelines of the United States
537-12 Internal Revenue Service.
538-13 (6) An owner-operator that provides a motor vehicle and the
539-14 services of a driver under a written contract that is subject to
540-15 IC 8-2.1-24-23, 45 IAC 16-1-13, or 49 CFR 376, to a motor
541-16 carrier is not an employee of the motor carrier for purposes of this
542-17 chapter. The owner-operator may elect to be covered and have the
543-18 owner-operator's drivers covered under a worker's compensation
544-19 insurance policy or authorized self-insurance that insures the
545-20 motor carrier if the owner-operator pays the premiums as
546-21 requested by the motor carrier. An election by an owner-operator
547-22 under this subdivision does not terminate the independent
548-23 contractor status of the owner-operator for any purpose other than
549-24 the purpose of this subdivision.
550-25 (7) An unpaid participant under the federal School to Work
551-26 Opportunities Act (20 U.S.C. 6101 et seq.) is an employee to the
552-27 extent set forth under section 2.5 of this chapter.
553-28 (8) A person who enters into an independent contractor agreement
554-29 with a nonprofit corporation that is recognized as tax exempt
555-30 under Section 501(c)(3) of the Internal Revenue Code (as defined
556-31 in IC 6-3-1-11(a)) to perform youth coaching services on a
557-32 part-time basis is not an employee for purposes of this chapter.
558-33 (9) An officer of a corporation who is an employee of the
559-34 corporation under this chapter may elect not to be an employee of
560-35 the corporation under this chapter. An officer of a corporation
561-36 who is also an owner of any interest in the corporation may elect
562-37 not to be an employee of the corporation under this chapter. If an
563-38 officer makes this election, the officer must serve written notice
564-39 of the election on the corporation's insurance carrier and the
565-40 board. An officer of a corporation may not be considered to be
566-41 excluded as an employee under this chapter until the notice is
567-42 received by the insurance carrier and the board.
568-SB 264—LS 6545/DI 153 14
569-1 (10) An individual who is not an employee of the state or a
570-2 political subdivision is considered to be a temporary employee of
571-3 the state for purposes of this chapter while serving as a member
572-4 of a mobile support unit on duty for training, an exercise, or a
573-5 response, as set forth in IC 10-14-3-19(c)(2)(B).
574-6 (11) An individual who is a member of a religious sect or a
575-7 division of a religious sect and holds an effective certificate of
576-8 exemption from compliance under section 34.2 of this chapter
577-9 is not considered an employee for purposes of this chapter.
578-10 (c) As used in this chapter, "minor" means an individual who has
579-11 not reached seventeen (17) years of age. A minor employee shall be
580-12 considered as being of full age for all purposes of this chapter.
581-13 However, if the employee is a minor who, at the time of the last
582-14 exposure, is employed, required, suffered, or permitted to work in
583-15 violation of the employment of minors laws of this state, the amount of
584-16 compensation and death benefits, as provided in this chapter, shall be
585-17 double the amount which would otherwise be recoverable. The
586-18 insurance carrier shall be liable on its policy for one-half (1/2) of the
587-19 compensation or benefits that may be payable on account of the
588-20 disability or death of the minor, and the employer shall be wholly liable
589-21 for the other one-half (1/2) of the compensation or benefits. If the
590-22 employee is a minor who is not less than sixteen (16) years of age and
591-23 who has not reached seventeen (17) years of age, and who at the time
592-24 of the last exposure is employed, suffered, or permitted to work at any
593-25 occupation which is not prohibited by law, the provisions of this
594-26 subsection prescribing double the amount otherwise recoverable do not
595-27 apply. The rights and remedies granted to a minor under this chapter on
596-28 account of disease shall exclude all rights and remedies of the minor,
597-29 the minor's parents, the minor's personal representatives, dependents,
598-30 or next of kin at common law, statutory or otherwise, on account of any
599-31 disease.
600-32 (d) This chapter does not apply to:
601-33 (1) casual laborers as defined in subsection (b); nor to
602-34 (2) farm or agricultural employees; nor to
603-35 (3) household employees; nor to
604-36 (4) railroad employees engaged in train service as engineers,
605-37 firemen, conductors, brakemen, flagmen, baggagemen, or
606-38 foremen in charge of yard engines and helpers assigned thereto;
607-39 nor to their
608-40 (5) an individual who is exempt under section 34.2 of this
609-41 chapter from compliance with this chapter; or
610-42 (6) employers with respect to these of employees listed in
611-SB 264—LS 6545/DI 153 15
612-1 subdivisions (1) through (5).
613-2 Also, this chapter does not apply to employees or their employers with
614-3 respect to employments in which the laws of the United States provide
615-4 for compensation or liability for injury to the health, disability, or death
616-5 by reason of diseases suffered by these employees.
617-6 (e) As used in this chapter, "disablement" means the event of
618-7 becoming disabled from earning full wages at the work in which the
619-8 employee was engaged when last exposed to the hazards of the
620-9 occupational disease by the employer from whom the employee claims
621-10 compensation or equal wages in other suitable employment, and
622-11 "disability" means the state of being so incapacitated.
623-12 (f) For the purposes of this chapter, no compensation shall be
624-13 payable for or on account of any occupational diseases unless
625-14 disablement, as defined in subsection (e), occurs within two (2) years
626-15 after the last day of the last exposure to the hazards of the disease
627-16 except for the following:
628-17 (1) In all cases of occupational diseases caused by the inhalation
629-18 of silica dust or coal dust, no compensation shall be payable
630-19 unless disablement, as defined in subsection (e), occurs within
631-20 three (3) years after the last day of the last exposure to the hazards
632-21 of the disease.
633-22 (2) In all cases of occupational disease caused by the exposure to
634-23 radiation, no compensation shall be payable unless disablement,
635-24 as defined in subsection (e), occurs within two (2) years from the
636-25 date on which the employee had knowledge of the nature of the
637-26 employee's occupational disease or, by exercise of reasonable
638-27 diligence, should have known of the existence of such disease and
639-28 its causal relationship to the employee's employment.
640-29 (3) In all cases of occupational diseases caused by the inhalation
641-30 of asbestos dust, no compensation shall be payable unless
642-31 disablement, as defined in subsection (e), occurs within three (3)
643-32 years after the last day of the last exposure to the hazards of the
644-33 disease if the last day of the last exposure was before July 1, 1985.
645-34 (4) In all cases of occupational disease caused by the inhalation
130+36 SECTION 3. IC 22-3-6-1, AS AMENDED BY P.L.160-2022,
131+37 SECTION 5, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
132+38 JULY 1, 2024]: Sec. 1. In IC 22-3-2 through IC 22-3-6, unless the
133+39 context otherwise requires:
134+40 (a) "Employer" includes the state and any political subdivision, any
135+41 municipal corporation within the state, any individual or the legal
136+42 representative of a deceased individual, firm, association, limited
137+2024 IN 264—LS 6545/DI 153 4
138+1 liability company, limited liability partnership, or corporation or the
139+2 receiver or trustee of the same, using the services of another for pay. A
140+3 corporation, limited liability company, or limited liability partnership
141+4 that controls the activities of another corporation, limited liability
142+5 company, or limited liability partnership, or a corporation and a limited
143+6 liability company or a corporation and a limited liability partnership
144+7 that are commonly owned entities, or the controlled corporation,
145+8 limited liability company, limited liability partnership, or commonly
146+9 owned entities, and a parent corporation and its subsidiaries shall each
147+10 be considered joint employers of the corporation's, the controlled
148+11 corporation's, the limited liability company's, the limited liability
149+12 partnership's, the commonly owned entities', the parent's, or the
150+13 subsidiaries' employees for purposes of IC 22-3-2-6 and IC 22-3-3-31.
151+14 Both a lessor and a lessee of employees shall each be considered joint
152+15 employers of the employees provided by the lessor to the lessee for
153+16 purposes of IC 22-3-2-6 and IC 22-3-3-31. If the employer is insured,
154+17 the term includes the employer's insurer so far as applicable. However,
155+18 the inclusion of an employer's insurer within this definition does not
156+19 allow an employer's insurer to avoid payment for services rendered to
157+20 an employee with the approval of the employer. The term also includes
158+21 an employer that provides on-the-job training under the federal School
159+22 to Work Opportunities Act (20 U.S.C. 6101 et seq.) to the extent set
160+23 forth in IC 22-3-2-2.5. The term does not include a nonprofit
161+24 corporation that is recognized as tax exempt under Section 501(c)(3)
162+25 of the Internal Revenue Code (as defined in IC 6-3-1-11(a)) to the
163+26 extent the corporation enters into an independent contractor agreement
164+27 with a person for the performance of youth coaching services on a
165+28 part-time basis.
166+29 (b) "Employee" means every person, including a minor, in the
167+30 service of another, under any contract of hire or apprenticeship, written
168+31 or implied, except one whose employment is both casual and not in the
169+32 usual course of the trade, business, occupation, or profession of the
170+33 employer.
171+34 (1) An executive officer elected or appointed and empowered in
172+35 accordance with the charter and bylaws of a corporation, other
173+36 than a municipal corporation or governmental subdivision or a
174+37 charitable, religious, educational, or other nonprofit corporation,
175+38 is an employee of the corporation under IC 22-3-2 through
176+39 IC 22-3-6. An officer of a corporation who is an employee of the
177+40 corporation under IC 22-3-2 through IC 22-3-6 may elect not to
178+41 be an employee of the corporation under IC 22-3-2 through
179+42 IC 22-3-6. An officer of a corporation who is also an owner of any
180+2024 IN 264—LS 6545/DI 153 5
181+1 interest in the corporation may elect not to be an employee of the
182+2 corporation under IC 22-3-2 through IC 22-3-6. If an officer
183+3 makes this election, the officer must serve written notice of the
184+4 election on the corporation's insurance carrier and the board. An
185+5 officer of a corporation may not be considered to be excluded as
186+6 an employee under IC 22-3-2 through IC 22-3-6 until the notice
187+7 is received by the insurance carrier and the board.
188+8 (2) An executive officer of a municipal corporation or other
189+9 governmental subdivision or of a charitable, religious,
190+10 educational, or other nonprofit corporation may, notwithstanding
191+11 any other provision of IC 22-3-2 through IC 22-3-6, be brought
192+12 within the coverage of its insurance contract by the corporation by
193+13 specifically including the executive officer in the contract of
194+14 insurance. The election to bring the executive officer within the
195+15 coverage shall continue for the period the contract of insurance is
196+16 in effect, and during this period, the executive officers thus
197+17 brought within the coverage of the insurance contract are
198+18 employees of the corporation under IC 22-3-2 through IC 22-3-6.
199+19 (3) Any reference to an employee who has been injured, when the
200+20 employee is dead, also includes the employee's legal
201+21 representatives, dependents, and other persons to whom
202+22 compensation may be payable.
203+23 (4) An owner of a sole proprietorship may elect to include the
204+24 owner as an employee under IC 22-3-2 through IC 22-3-6 if the
205+25 owner is actually engaged in the proprietorship business. If the
206+26 owner makes this election, the owner must serve upon the owner's
207+27 insurance carrier and upon the board written notice of the
208+28 election. No owner of a sole proprietorship may be considered an
209+29 employee under IC 22-3-2 through IC 22-3-6 until the notice has
210+30 been received. If the owner of a sole proprietorship:
211+31 (A) is an independent contractor in the construction trades and
212+32 does not make the election provided under this subdivision,
213+33 the owner must obtain a certificate of exemption under
214+34 IC 22-3-2-14.5; or
215+35 (B) is an independent contractor and does not make the
216+36 election provided under this subdivision, the owner may obtain
217+37 a certificate of exemption under IC 22-3-2-14.5.
218+38 (5) A partner in a partnership may elect to include the partner as
219+39 an employee under IC 22-3-2 through IC 22-3-6 if the partner is
220+40 actually engaged in the partnership business. If a partner makes
221+41 this election, the partner must serve upon the partner's insurance
222+42 carrier and upon the board written notice of the election. No
223+2024 IN 264—LS 6545/DI 153 6
224+1 partner may be considered an employee under IC 22-3-2 through
225+2 IC 22-3-6 until the notice has been received. If a partner in a
226+3 partnership:
227+4 (A) is an independent contractor in the construction trades and
228+5 does not make the election provided under this subdivision,
229+6 the partner must obtain a certificate of exemption under
230+7 IC 22-3-2-14.5; or
231+8 (B) is an independent contractor and does not make the
232+9 election provided under this subdivision, the partner may
233+10 obtain a certificate of exemption under IC 22-3-2-14.5.
234+11 (6) Real estate professionals are not employees under IC 22-3-2
235+12 through IC 22-3-6 if:
236+13 (A) they are licensed real estate agents;
237+14 (B) substantially all their remuneration is directly related to
238+15 sales volume and not the number of hours worked; and
239+16 (C) they have written agreements with real estate brokers
240+17 stating that they are not to be treated as employees for tax
241+18 purposes.
242+19 (7) A person is an independent contractor and not an employee
243+20 under IC 22-3-2 through IC 22-3-6 if the person is an independent
244+21 contractor under the guidelines of the United States Internal
245+22 Revenue Service.
246+23 (8) An owner-operator that provides a motor vehicle and the
247+24 services of a driver under a written contract that is subject to
248+25 IC 8-2.1-24-23, 45 IAC 16-1-13, or 49 CFR 376 to a motor carrier
249+26 is not an employee of the motor carrier for purposes of IC 22-3-2
250+27 through IC 22-3-6. The owner-operator may elect to be covered
251+28 and have the owner-operator's drivers covered under a worker's
252+29 compensation insurance policy or authorized self-insurance that
253+30 insures the motor carrier if the owner-operator pays the premiums
254+31 as requested by the motor carrier. An election by an
255+32 owner-operator under this subdivision does not terminate the
256+33 independent contractor status of the owner-operator for any
257+34 purpose other than the purpose of this subdivision.
258+35 (9) A member or manager in a limited liability company may elect
259+36 to include the member or manager as an employee under
260+37 IC 22-3-2 through IC 22-3-6 if the member or manager is actually
261+38 engaged in the limited liability company business. If a member or
262+39 manager makes this election, the member or manager must serve
263+40 upon the member's or manager's insurance carrier and upon the
264+41 board written notice of the election. A member or manager may
265+42 not be considered an employee under IC 22-3-2 through IC 22-3-6
266+2024 IN 264—LS 6545/DI 153 7
267+1 until the notice has been received.
268+2 (10) An unpaid participant under the federal School to Work
269+3 Opportunities Act (20 U.S.C. 6101 et seq.) is an employee to the
270+4 extent set forth in IC 22-3-2-2.5.
271+5 (11) A person who enters into an independent contractor
272+6 agreement with a nonprofit corporation that is recognized as tax
273+7 exempt under Section 501(c)(3) of the Internal Revenue Code (as
274+8 defined in IC 6-3-1-11(a)) to perform youth coaching services on
275+9 a part-time basis is not an employee for purposes of IC 22-3-2
276+10 through IC 22-3-6.
277+11 (12) An individual who is not an employee of the state or a
278+12 political subdivision is considered to be a temporary employee of
279+13 the state for purposes of IC 22-3-2 through IC 22-3-6 while
280+14 serving as a member of a mobile support unit on duty for training,
281+15 an exercise, or a response, as set forth in IC 10-14-3-19(c)(2)(B).
282+16 (13) A driver providing drive away operations is an independent
283+17 contractor and not an employee when:
284+18 (A) the vehicle being driven is the commodity being delivered;
285+19 and
286+20 (B) the driver has entered into an agreement with the party
287+21 arranging for the transportation that specifies the driver is an
288+22 independent contractor and not an employee.
289+23 (14) An individual who is a member of a religious sect or a
290+24 division of a religious sect and holds an effective certificate of
291+25 exemption from compliance under IC 22-3-5-1.5 is not
292+26 considered an employee for purposes of IC 22-3-2 through
293+27 IC 22-3-6.
294+28 (c) "Minor" means an individual who has not reached seventeen
295+29 (17) years of age.
296+30 (1) Unless otherwise provided in this subsection, a minor
297+31 employee shall be considered as being of full age for all purposes
298+32 of IC 22-3-2 through IC 22-3-6.
299+33 (2) If the employee is a minor who, at the time of the accident, is
300+34 employed, required, suffered, or permitted to work in violation of
301+35 IC 22-2-18-40 (before its expiration on June 30, 2021) and
302+36 IC 22-2-18.1-23, the amount of compensation and death benefits,
303+37 as provided in IC 22-3-2 through IC 22-3-6, shall be double the
304+38 amount which would otherwise be recoverable. The insurance
305+39 carrier shall be liable on its policy for one-half (1/2) of the
306+40 compensation or benefits that may be payable on account of the
307+41 injury or death of the minor, and the employer shall be liable for
308+42 the other one-half (1/2) of the compensation or benefits. If the
309+2024 IN 264—LS 6545/DI 153 8
310+1 employee is a minor who is not less than sixteen (16) years of age
311+2 and who has not reached seventeen (17) years of age and who at
312+3 the time of the accident is employed, suffered, or permitted to
313+4 work at any occupation which is not prohibited by law, this
314+5 subdivision does not apply.
315+6 (3) A minor employee who, at the time of the accident, is a
316+7 student performing services for an employer as part of an
317+8 approved program under IC 20-37-2-7 shall be considered a
318+9 full-time employee for the purpose of computing compensation
319+10 for permanent impairment under IC 22-3-3-10. The average
320+11 weekly wages for such a student shall be calculated as provided
321+12 in subsection (d)(4).
322+13 (4) The rights and remedies granted in this subsection to a minor
323+14 under IC 22-3-2 through IC 22-3-6 on account of personal injury
324+15 or death by accident shall exclude all rights and remedies of the
325+16 minor, the minor's parents, or the minor's personal
326+17 representatives, dependents, or next of kin at common law,
327+18 statutory or otherwise, on account of the injury or death. This
328+19 subsection does not apply to minors who have reached seventeen
329+20 (17) years of age.
330+21 (d) "Average weekly wages" means the earnings of the injured
331+22 employee in the employment in which the employee was working at the
332+23 time of the injury during the period of fifty-two (52) weeks
333+24 immediately preceding the date of injury, divided by fifty-two (52),
334+25 except as follows:
335+26 (1) If the injured employee lost seven (7) or more calendar days
336+27 during this period, although not in the same week, then the
337+28 earnings for the remainder of the fifty-two (52) weeks shall be
338+29 divided by the number of weeks and parts thereof remaining after
339+30 the time lost has been deducted.
340+31 (2) Where the employment prior to the injury extended over a
341+32 period of less than fifty-two (52) weeks, the method of dividing
342+33 the earnings during that period by the number of weeks and parts
343+34 thereof during which the employee earned wages shall be
344+35 followed, if results just and fair to both parties will be obtained.
345+36 Where by reason of the shortness of the time during which the
346+37 employee has been in the employment of the employee's employer
347+38 or of the casual nature or terms of the employment it is
348+39 impracticable to compute the average weekly wages, as defined
349+40 in this subsection, regard shall be had to the average weekly
350+41 amount which during the fifty-two (52) weeks previous to the
351+42 injury was being earned by a person in the same grade employed
352+2024 IN 264—LS 6545/DI 153 9
353+1 at the same work by the same employer or, if there is no person so
354+2 employed, by a person in the same grade employed in the same
355+3 class of employment in the same district.
356+4 (3) Wherever allowances of any character made to an employee
357+5 in lieu of wages are a specified part of the wage contract, they
358+6 shall be deemed a part of the employee's earnings.
359+7 (4) In computing the average weekly wages to be used in
360+8 calculating an award for permanent impairment under
361+9 IC 22-3-3-10 for a student employee in an approved training
362+10 program under IC 20-37-2-7, the following formula shall be used.
363+11 Calculate the product of:
364+12 (A) the student employee's hourly wage rate; multiplied by
365+13 (B) forty (40) hours.
366+14 The result obtained is the amount of the average weekly wages for
367+15 the student employee.
368+16 (e) "Injury" and "personal injury" mean only injury by accident
369+17 arising out of and in the course of the employment and do not include
370+18 a disease in any form except as it results from the injury.
371+19 (f) "Billing review service" refers to a person or an entity that
372+20 reviews a medical service provider's bills or statements for the purpose
373+21 of determining pecuniary liability. The term includes an employer's
374+22 worker's compensation insurance carrier if the insurance carrier
375+23 performs such a review.
376+24 (g) "Billing review standard" means the data used by a billing
377+25 review service to determine pecuniary liability.
378+26 (h) "Community" means a geographic service area based on ZIP
379+27 code districts defined by the United States Postal Service according to
380+28 the following groupings:
381+29 (1) The geographic service area served by ZIP codes with the first
382+30 three (3) digits 463 and 464.
383+31 (2) The geographic service area served by ZIP codes with the first
384+32 three (3) digits 465 and 466.
385+33 (3) The geographic service area served by ZIP codes with the first
386+34 three (3) digits 467 and 468.
387+35 (4) The geographic service area served by ZIP codes with the first
388+36 three (3) digits 469 and 479.
389+37 (5) The geographic service area served by ZIP codes with the first
390+38 three (3) digits 460, 461 (except 46107), and 473.
391+39 (6) The geographic service area served by the 46107 ZIP code and
392+40 ZIP codes with the first three (3) digits 462.
393+41 (7) The geographic service area served by ZIP codes with the first
394+42 three (3) digits 470, 471, 472, 474, and 478.
395+2024 IN 264—LS 6545/DI 153 10
396+1 (8) The geographic service area served by ZIP codes with the first
397+2 three (3) digits 475, 476, and 477.
398+3 (i) "Medical service provider" refers to a person or an entity that
399+4 provides services or products to an employee under IC 22-3-2 through
400+5 IC 22-3-6. Except as otherwise provided in IC 22-3-2 through
401+6 IC 22-3-6, the term includes a medical service facility.
402+7 (j) "Medical service facility" means any of the following that
403+8 provides a service or product under IC 22-3-2 through IC 22-3-6 and
404+9 uses the CMS 1450 (UB-04) form or the CMS 1500 (HCFA-1500)
405+10 form for Medicare reimbursement:
406+11 (1) An ambulatory outpatient surgical center (as defined in
407+12 IC 16-18-2-14).
408+13 (2) A hospital (as defined in IC 16-18-2-179).
409+14 (3) A hospital based health facility (as defined in
410+15 IC 16-18-2-180).
411+16 (4) A medical center (as defined in IC 16-18-2-223.4).
412+17 (k) "Pecuniary liability" means the responsibility of an employer or
413+18 the employer's insurance carrier for the payment of the charges for each
414+19 specific service or product for human medical treatment provided
415+20 under IC 22-3-2 through IC 22-3-6, as follows:
416+21 (1) This subdivision applies before July 1, 2014, to all medical
417+22 service providers, and after June 30, 2014, to a medical service
418+23 provider that is not a medical service facility. Payment of the
419+24 charges in a defined community, equal to or less than the charges
420+25 made by medical service providers at the eightieth percentile in
421+26 the same community for like services or products.
422+27 (2) Payment of the charges in a reasonable amount, which is
423+28 established by payment of one (1) of the following:
424+29 (A) The amount negotiated at any time between the medical
425+30 service facility and any of the following, if an amount has been
426+31 negotiated:
427+32 (i) The employer.
428+33 (ii) The employer's insurance carrier.
429+34 (iii) A billing review service on behalf of a person described
430+35 in item (i) or (ii).
431+36 (iv) A direct provider network that has contracted with a
432+37 person described in item (i) or (ii).
433+38 (B) Two hundred percent (200%) of the amount that would be
434+39 paid to the medical service facility on the same date for the
435+40 same service or product under the medical service facility's
436+41 Medicare reimbursement rate, if, after conducting the
437+42 negotiations described in clause (A), an agreement has not
438+2024 IN 264—LS 6545/DI 153 11
439+1 been reached.
440+2 (l) "Service or product" or "services and products" refers to medical,
441+3 hospital, surgical, or nursing service, treatment, and supplies provided
442+4 under IC 22-3-2 through IC 22-3-6.
443+5 SECTION 4. IC 22-3-7-9, AS AMENDED BY P.L.160-2022,
444+6 SECTION 6, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
445+7 JULY 1, 2024]: Sec. 9. (a) As used in this chapter, "employer" includes
446+8 the state and any political subdivision, any municipal corporation
447+9 within the state, any individual or the legal representative of a deceased
448+10 individual, firm, association, limited liability company, limited liability
449+11 partnership, or corporation or the receiver or trustee of the same, using
450+12 the services of another for pay. A corporation, limited liability
451+13 company, or limited liability partnership that controls the activities of
452+14 another corporation, limited liability company, or limited liability
453+15 partnership, or a corporation and a limited liability company or a
454+16 corporation and a limited liability partnership that are commonly
455+17 owned entities, or the controlled corporation, limited liability company,
456+18 limited liability partnership, or commonly owned entities, and a parent
457+19 corporation and its subsidiaries shall each be considered joint
458+20 employers of the corporation's, the controlled corporation's, the limited
459+21 liability company's, the limited liability partnership's, the commonly
460+22 owned entities', the parent's, or the subsidiaries' employees for purposes
461+23 of sections 6 and 33 of this chapter. Both a lessor and a lessee of
462+24 employees shall each be considered joint employers of the employees
463+25 provided by the lessor to the lessee for purposes of sections 6 and 33
464+26 of this chapter. The term also includes an employer that provides
465+27 on-the-job training under the federal School to Work Opportunities Act
466+28 (20 U.S.C. 6101 et seq.) to the extent set forth under section 2.5 of this
467+29 chapter. If the employer is insured, the term includes the employer's
468+30 insurer so far as applicable. However, the inclusion of an employer's
469+31 insurer within this definition does not allow an employer's insurer to
470+32 avoid payment for services rendered to an employee with the approval
471+33 of the employer. The term does not include a nonprofit corporation that
472+34 is recognized as tax exempt under Section 501(c)(3) of the Internal
473+35 Revenue Code (as defined in IC 6-3-1-11(a)) to the extent the
474+36 corporation enters into an independent contractor agreement with a
475+37 person for the performance of youth coaching services on a part-time
476+38 basis.
477+39 (b) As used in this chapter, "employee" means every person,
478+40 including a minor, in the service of another, under any contract of hire
479+41 or apprenticeship written or implied, except one whose employment is
480+42 both casual and not in the usual course of the trade, business,
481+2024 IN 264—LS 6545/DI 153 12
482+1 occupation, or profession of the employer. For purposes of this chapter
483+2 the following apply:
484+3 (1) Any reference to an employee who has suffered disablement,
485+4 when the employee is dead, also includes the employee's legal
486+5 representative, dependents, and other persons to whom
487+6 compensation may be payable.
488+7 (2) An owner of a sole proprietorship may elect to include the
489+8 owner as an employee under this chapter if the owner is actually
490+9 engaged in the proprietorship business. If the owner makes this
491+10 election, the owner must serve upon the owner's insurance carrier
492+11 and upon the board written notice of the election. No owner of a
493+12 sole proprietorship may be considered an employee under this
494+13 chapter unless the notice has been received. If the owner of a sole
495+14 proprietorship:
496+15 (A) is an independent contractor in the construction trades and
497+16 does not make the election provided under this subdivision,
498+17 the owner must obtain a certificate of exemption under section
499+18 34.5 of this chapter; or
500+19 (B) is an independent contractor and does not make the
501+20 election provided under this subdivision, the owner may obtain
502+21 a certificate of exemption under section 34.5 of this chapter.
503+22 (3) A partner in a partnership may elect to include the partner as
504+23 an employee under this chapter if the partner is actually engaged
505+24 in the partnership business. If a partner makes this election, the
506+25 partner must serve upon the partner's insurance carrier and upon
507+26 the board written notice of the election. No partner may be
508+27 considered an employee under this chapter until the notice has
509+28 been received. If a partner in a partnership:
510+29 (A) is an independent contractor in the construction trades and
511+30 does not make the election provided under this subdivision,
512+31 the partner must obtain a certificate of exemption under
513+32 section 34.5 of this chapter; or
514+33 (B) is an independent contractor and does not make the
515+34 election provided under this subdivision, the partner may
516+35 obtain a certificate of exemption under section 34.5 of this
517+36 chapter.
518+37 (4) Real estate professionals are not employees under this chapter
519+38 if:
520+39 (A) they are licensed real estate agents;
521+40 (B) substantially all their remuneration is directly related to
522+41 sales volume and not the number of hours worked; and
523+42 (C) they have written agreements with real estate brokers
524+2024 IN 264—LS 6545/DI 153 13
525+1 stating that they are not to be treated as employees for tax
526+2 purposes.
527+3 (5) A person is an independent contractor in the construction
528+4 trades and not an employee under this chapter if the person is an
529+5 independent contractor under the guidelines of the United States
530+6 Internal Revenue Service.
531+7 (6) An owner-operator that provides a motor vehicle and the
532+8 services of a driver under a written contract that is subject to
533+9 IC 8-2.1-24-23, 45 IAC 16-1-13, or 49 CFR 376, to a motor
534+10 carrier is not an employee of the motor carrier for purposes of this
535+11 chapter. The owner-operator may elect to be covered and have the
536+12 owner-operator's drivers covered under a worker's compensation
537+13 insurance policy or authorized self-insurance that insures the
538+14 motor carrier if the owner-operator pays the premiums as
539+15 requested by the motor carrier. An election by an owner-operator
540+16 under this subdivision does not terminate the independent
541+17 contractor status of the owner-operator for any purpose other than
542+18 the purpose of this subdivision.
543+19 (7) An unpaid participant under the federal School to Work
544+20 Opportunities Act (20 U.S.C. 6101 et seq.) is an employee to the
545+21 extent set forth under section 2.5 of this chapter.
546+22 (8) A person who enters into an independent contractor agreement
547+23 with a nonprofit corporation that is recognized as tax exempt
548+24 under Section 501(c)(3) of the Internal Revenue Code (as defined
549+25 in IC 6-3-1-11(a)) to perform youth coaching services on a
550+26 part-time basis is not an employee for purposes of this chapter.
551+27 (9) An officer of a corporation who is an employee of the
552+28 corporation under this chapter may elect not to be an employee of
553+29 the corporation under this chapter. An officer of a corporation
554+30 who is also an owner of any interest in the corporation may elect
555+31 not to be an employee of the corporation under this chapter. If an
556+32 officer makes this election, the officer must serve written notice
557+33 of the election on the corporation's insurance carrier and the
558+34 board. An officer of a corporation may not be considered to be
559+35 excluded as an employee under this chapter until the notice is
560+36 received by the insurance carrier and the board.
561+37 (10) An individual who is not an employee of the state or a
562+38 political subdivision is considered to be a temporary employee of
563+39 the state for purposes of this chapter while serving as a member
564+40 of a mobile support unit on duty for training, an exercise, or a
565+41 response, as set forth in IC 10-14-3-19(c)(2)(B).
566+42 (11) An individual who is a member of a religious sect or a
567+2024 IN 264—LS 6545/DI 153 14
568+1 division of a religious sect and holds an effective certificate of
569+2 exemption from compliance under section 34.2 of this chapter
570+3 is not considered an employee for purposes of this chapter.
571+4 (c) As used in this chapter, "minor" means an individual who has
572+5 not reached seventeen (17) years of age. A minor employee shall be
573+6 considered as being of full age for all purposes of this chapter.
574+7 However, if the employee is a minor who, at the time of the last
575+8 exposure, is employed, required, suffered, or permitted to work in
576+9 violation of the employment of minors laws of this state, the amount of
577+10 compensation and death benefits, as provided in this chapter, shall be
578+11 double the amount which would otherwise be recoverable. The
579+12 insurance carrier shall be liable on its policy for one-half (1/2) of the
580+13 compensation or benefits that may be payable on account of the
581+14 disability or death of the minor, and the employer shall be wholly liable
582+15 for the other one-half (1/2) of the compensation or benefits. If the
583+16 employee is a minor who is not less than sixteen (16) years of age and
584+17 who has not reached seventeen (17) years of age, and who at the time
585+18 of the last exposure is employed, suffered, or permitted to work at any
586+19 occupation which is not prohibited by law, the provisions of this
587+20 subsection prescribing double the amount otherwise recoverable do not
588+21 apply. The rights and remedies granted to a minor under this chapter on
589+22 account of disease shall exclude all rights and remedies of the minor,
590+23 the minor's parents, the minor's personal representatives, dependents,
591+24 or next of kin at common law, statutory or otherwise, on account of any
592+25 disease.
593+26 (d) This chapter does not apply to:
594+27 (1) casual laborers as defined in subsection (b); nor to
595+28 (2) farm or agricultural employees; nor to
596+29 (3) household employees; nor to
597+30 (4) railroad employees engaged in train service as engineers,
598+31 firemen, conductors, brakemen, flagmen, baggagemen, or
599+32 foremen in charge of yard engines and helpers assigned thereto;
600+33 nor to their
601+34 (5) an individual who is exempt under section 34.2 of this
602+35 chapter from compliance with this chapter; or
603+36 (6) employers with respect to these of employees listed in
604+37 subdivisions (1) through (5).
605+38 Also, this chapter does not apply to employees or their employers with
606+39 respect to employments in which the laws of the United States provide
607+40 for compensation or liability for injury to the health, disability, or death
608+41 by reason of diseases suffered by these employees.
609+42 (e) As used in this chapter, "disablement" means the event of
610+2024 IN 264—LS 6545/DI 153 15
611+1 becoming disabled from earning full wages at the work in which the
612+2 employee was engaged when last exposed to the hazards of the
613+3 occupational disease by the employer from whom the employee claims
614+4 compensation or equal wages in other suitable employment, and
615+5 "disability" means the state of being so incapacitated.
616+6 (f) For the purposes of this chapter, no compensation shall be
617+7 payable for or on account of any occupational diseases unless
618+8 disablement, as defined in subsection (e), occurs within two (2) years
619+9 after the last day of the last exposure to the hazards of the disease
620+10 except for the following:
621+11 (1) In all cases of occupational diseases caused by the inhalation
622+12 of silica dust or coal dust, no compensation shall be payable
623+13 unless disablement, as defined in subsection (e), occurs within
624+14 three (3) years after the last day of the last exposure to the hazards
625+15 of the disease.
626+16 (2) In all cases of occupational disease caused by the exposure to
627+17 radiation, no compensation shall be payable unless disablement,
628+18 as defined in subsection (e), occurs within two (2) years from the
629+19 date on which the employee had knowledge of the nature of the
630+20 employee's occupational disease or, by exercise of reasonable
631+21 diligence, should have known of the existence of such disease and
632+22 its causal relationship to the employee's employment.
633+23 (3) In all cases of occupational diseases caused by the inhalation
634+24 of asbestos dust, no compensation shall be payable unless
635+25 disablement, as defined in subsection (e), occurs within three (3)
636+26 years after the last day of the last exposure to the hazards of the
637+27 disease if the last day of the last exposure was before July 1, 1985.
638+28 (4) In all cases of occupational disease caused by the inhalation
639+29 of asbestos dust in which the last date of the last exposure occurs
640+30 on or after July 1, 1985, and before July 1, 1988, no compensation
641+31 shall be payable unless disablement, as defined in subsection (e),
642+32 occurs within twenty (20) years after the last day of the last
643+33 exposure.
644+34 (5) In all cases of occupational disease caused by the inhalation
646645 35 of asbestos dust in which the last date of the last exposure occurs
647-36 on or after July 1, 1985, and before July 1, 1988, no compensation
648-37 shall be payable unless disablement, as defined in subsection (e),
649-38 occurs within twenty (20) years after the last day of the last
650-39 exposure.
651-40 (5) In all cases of occupational disease caused by the inhalation
652-41 of asbestos dust in which the last date of the last exposure occurs
653-42 on or after July 1, 1988, no compensation shall be payable unless
654-SB 264—LS 6545/DI 153 16
655-1 disablement (as defined in subsection (e)) occurs within
656-2 thirty-five (35) years after the last day of the last exposure.
657-3 (g) For the purposes of this chapter, no compensation shall be
658-4 payable for or on account of death resulting from any occupational
659-5 disease unless death occurs within two (2) years after the date of
660-6 disablement. However, this subsection does not bar compensation for
661-7 death:
662-8 (1) where death occurs during the pendency of a claim filed by an
663-9 employee within two (2) years after the date of disablement and
664-10 which claim has not resulted in a decision or has resulted in a
665-11 decision which is in process of review or appeal; or
666-12 (2) where, by agreement filed or decision rendered, a
667-13 compensable period of disability has been fixed and death occurs
668-14 within two (2) years after the end of such fixed period, but in no
669-15 event later than three hundred (300) weeks after the date of
670-16 disablement.
671-17 (h) As used in this chapter, "billing review service" refers to a
672-18 person or an entity that reviews a medical service provider's bills or
673-19 statements for the purpose of determining pecuniary liability. The term
674-20 includes an employer's worker's compensation insurance carrier if the
675-21 insurance carrier performs such a review.
676-22 (i) As used in this chapter, "billing review standard" means the data
677-23 used by a billing review service to determine pecuniary liability.
678-24 (j) As used in this chapter, "community" means a geographic service
679-25 area based on ZIP code districts defined by the United States Postal
680-26 Service according to the following groupings:
681-27 (1) The geographic service area served by ZIP codes with the first
682-28 three (3) digits 463 and 464.
683-29 (2) The geographic service area served by ZIP codes with the first
684-30 three (3) digits 465 and 466.
685-31 (3) The geographic service area served by ZIP codes with the first
686-32 three (3) digits 467 and 468.
687-33 (4) The geographic service area served by ZIP codes with the first
688-34 three (3) digits 469 and 479.
689-35 (5) The geographic service area served by ZIP codes with the first
690-36 three (3) digits 460, 461 (except 46107), and 473.
691-37 (6) The geographic service area served by the 46107 ZIP code and
692-38 ZIP codes with the first three (3) digits 462.
693-39 (7) The geographic service area served by ZIP codes with the first
694-40 three (3) digits 470, 471, 472, 474, and 478.
695-41 (8) The geographic service area served by ZIP codes with the first
696-42 three (3) digits 475, 476, and 477.
697-SB 264—LS 6545/DI 153 17
698-1 (k) As used in this chapter, "medical service provider" refers to a
699-2 person or an entity that provides services or products to an employee
700-3 under this chapter. Except as otherwise provided in this chapter, the
701-4 term includes a medical service facility.
702-5 (l) As used in this chapter, "medical service facility" means any of
703-6 the following that provides a service or product under this chapter and
704-7 uses the CMS 1450 (UB-04) form or the CMS 1500 (HCFA-1500)
705-8 form for Medicare reimbursement:
706-9 (1) An ambulatory outpatient surgical center (as defined in
707-10 IC 16-18-2-14).
708-11 (2) A hospital (as defined in IC 16-18-2-179).
709-12 (3) A hospital based health facility (as defined in
710-13 IC 16-18-2-180).
711-14 (4) A medical center (as defined in IC 16-18-2-223.4).
712-15 (m) As used in this chapter, "pecuniary liability" means the
713-16 responsibility of an employer or the employer's insurance carrier for the
714-17 payment of the charges for each specific service or product for human
715-18 medical treatment provided under this chapter as follows:
716-19 (1) This subdivision applies before July 1, 2014, to all medical
717-20 service providers, and after June 30, 2014, to a medical service
718-21 provider that is not a medical service facility. Payment of the
719-22 charges in a defined community, equal to or less than the charges
720-23 made by medical service providers at the eightieth percentile in
721-24 the same community for like services or products.
722-25 (2) Payment of the charges in a reasonable amount, which is
723-26 established by payment of one (1) of the following:
724-27 (A) The amount negotiated at any time between the medical
725-28 service facility and any of the following, if an amount has been
726-29 negotiated:
727-30 (i) The employer.
728-31 (ii) The employer's insurance carrier.
729-32 (iii) A billing review service on behalf of a person described
730-33 in item (i) or (ii).
731-34 (iv) A direct provider network that has contracted with a
732-35 person described in item (i) or (ii).
733-36 (B) Two hundred percent (200%) of the amount that would be
734-37 paid to the medical service facility on the same date for the
735-38 same service or product under the medical service facility's
736-39 Medicare reimbursement rate, if, after conducting the
737-40 negotiations described in clause (A), an agreement has not
738-41 been reached.
739-42 (n) "Service or product" or "services and products" refers to
740-SB 264—LS 6545/DI 153 18
741-1 medical, hospital, surgical, or nursing service, treatment, and supplies
742-2 provided under this chapter.
743-3 SECTION 5. IC 22-3-7-34.2 IS ADDED TO THE INDIANA CODE
744-4 AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
745-5 1, 2024]: Sec. 34.2. (a) An individual may file with the worker's
746-6 compensation board, in a form prescribed by the board, an
747-7 application for a certificate of exemption from compliance with
748-8 this chapter.
749-9 (b) An application filed under this section must include the
750-10 following information:
751-11 (1) The individual's name, address, date of birth, and Social
752-12 Security number.
753-13 (2) The name of the religious sect or division of a religious sect
754-14 to which the individual belongs.
755-15 (3) A verified affidavit signed by the individual stating that:
756-16 (A) the individual is a member of the sect or division
757-17 described in subdivision (2);
758-18 (B) the individual adheres to the sect's or division's
759-19 established tenets or teachings that conscientiously oppose
760-20 the acceptance of public or private insurance benefits as
761-21 the result of injury, disability, or death, or for medical care
762-22 for injuries or illnesses, including the benefits from any
763-23 insurance system established by the federal Social Security
764-24 Act (42 U.S.C. 301 et seq.);
765-25 (C) members of the sect or division have a method for
766-26 sharing the costs of work related medical expenses and loss
767-27 of income; and
768-28 (D) the individual knowingly and voluntarily waives the
769-29 individual's rights to all benefits available to the individual
770-30 under this chapter.
771-31 (4) A statement by a leader of the religious sect or division of
772-32 the religious sect described in subdivision (2) that the
773-33 individual is a member of the sect or division.
774-34 (c) A copy of an approved Internal Revenue Service Form 4029,
775-35 Application for Exemption from Social Security and Medicare
776-36 Taxes and Waiver of Benefits, or a successor form, for the
777-37 individual must be filed with an application filed under this section.
778-38 (d) The board shall issue a certificate of exemption not later
779-39 than forty-five (45) days after the board receives a completed
780-40 application and the form described in subsection (c).
781-41 (e) A certificate of exemption issued under this section is
782-42 effective on the date the certificate is issued and remains in effect
783-SB 264—LS 6545/DI 153 19
784-1 until the date provided in subsection (f)(3).
785-2 (f) If information contained in an affidavit described in
786-3 subsection (b)(3) is no longer true, the following apply:
787-4 (1) Not later than seven (7) days after the date on which the
788-5 change occurs, the individual shall notify the individual's
789-6 employer in writing of the change.
790-7 (2) Not later than thirty (30) days after the date on which the
791-8 employer receives the notice described in subdivision (1), the
792-9 individual and the individual's employer shall each notify the
793-10 board in writing of the change.
794-11 (3) Beginning on the date the individual and the individual's
795-12 employer send to the board the notice described in subdivision
796-13 (2), the individual and the individual's employer shall each
797-14 comply with this chapter.
798-15 (g) The board shall maintain a data base consisting of the
799-16 certificates issued under this section and on request verify that a
800-17 certificate is on file.
801-18 (h) An employer of an individual holding an effective certificate
802-19 of compliance is immune from civil liability in an action brought by
803-20 the individual if the claim is based on disablement or death by
804-21 occupational disease arising out of and in the course of the
805-22 employment. This subsection does not apply if the conduct
806-23 constitutes gross negligence or intentional, wanton, or willful
807-24 misconduct.
808-25 SECTION 6. IC 34-30-2.1-296.5 IS ADDED TO THE INDIANA
809-26 CODE AS A NEW SECTION TO READ AS FOLLOWS
810-27 [EFFECTIVE JULY 1, 2024]: Sec. 296.5. IC 22-3-5-1.5 (Concerning
811-28 employers of individuals who hold an effective certificate of
812-29 exemption).
813-30 SECTION 7. IC 34-30-2.1-296.7 IS ADDED TO THE INDIANA
814-31 CODE AS A NEW SECTION TO READ AS FOLLOWS
815-32 [EFFECTIVE JULY 1, 2024]: Sec. 296.7. IC 22-3-7-34.2 (Concerning
816-33 employers of individuals who hold an effective certificate of
817-34 exemption).
818-SB 264—LS 6545/DI 153 20
819-COMMITTEE REPORT
820-Madam President: The Senate Committee on Pensions and Labor,
821-to which was referred Senate Bill No. 264, has had the same under
822-consideration and begs leave to report the same back to the Senate with
823-the recommendation that said bill be AMENDED as follows:
824-Page 3, between lines 35 and 36, begin a new paragraph and insert:
825-"(h) An employer of an individual holding an effective certificate
826-of compliance is immune from civil liability in an action brought by
827-the individual if the claim is based on personal injury or death by
828-accident arising out of and in the course of the employment. This
829-subsection does not apply if the conduct constitutes gross
830-negligence or intentional, wanton, or willful misconduct.".
831-Page 19, after line 11, begin a new paragraph and insert:
832-"(h) An employer of an individual holding an effective certificate
833-of compliance is immune from civil liability in an action brought by
834-the individual if the claim is based on disablement or death by
835-occupational disease arising out of and in the course of the
836-employment. This subsection does not apply if the conduct
837-constitutes gross negligence or intentional, wanton, or willful
838-misconduct.
839-SECTION 6. IC 34-30-2.1-296.5 IS ADDED TO THE INDIANA
840-CODE AS A NEW SECTION TO READ AS FOLLOWS
841-[EFFECTIVE JULY 1, 2024]: Sec. 296.5. IC 22-3-5-1.5 (Concerning
842-employers of individuals who hold an effective certificate of
843-exemption).
844-SECTION 7. IC 34-30-2.1-296.7 IS ADDED TO THE INDIANA
845-CODE AS A NEW SECTION TO READ AS FOLLOWS
846-[EFFECTIVE JULY 1, 2024]: Sec. 296.7. IC 22-3-7-34.2 (Concerning
847-employers of individuals who hold an effective certificate of
848-exemption).".
849-and when so amended that said bill do pass.
850-(Reference is to SB 264 as introduced.)
851-ROGERS, Chairperson
852-Committee Vote: Yeas 10, Nays 0.
853-SB 264—LS 6545/DI 153
646+36 on or after July 1, 1988, no compensation shall be payable unless
647+37 disablement (as defined in subsection (e)) occurs within
648+38 thirty-five (35) years after the last day of the last exposure.
649+39 (g) For the purposes of this chapter, no compensation shall be
650+40 payable for or on account of death resulting from any occupational
651+41 disease unless death occurs within two (2) years after the date of
652+42 disablement. However, this subsection does not bar compensation for
653+2024 IN 264—LS 6545/DI 153 16
654+1 death:
655+2 (1) where death occurs during the pendency of a claim filed by an
656+3 employee within two (2) years after the date of disablement and
657+4 which claim has not resulted in a decision or has resulted in a
658+5 decision which is in process of review or appeal; or
659+6 (2) where, by agreement filed or decision rendered, a
660+7 compensable period of disability has been fixed and death occurs
661+8 within two (2) years after the end of such fixed period, but in no
662+9 event later than three hundred (300) weeks after the date of
663+10 disablement.
664+11 (h) As used in this chapter, "billing review service" refers to a
665+12 person or an entity that reviews a medical service provider's bills or
666+13 statements for the purpose of determining pecuniary liability. The term
667+14 includes an employer's worker's compensation insurance carrier if the
668+15 insurance carrier performs such a review.
669+16 (i) As used in this chapter, "billing review standard" means the data
670+17 used by a billing review service to determine pecuniary liability.
671+18 (j) As used in this chapter, "community" means a geographic service
672+19 area based on ZIP code districts defined by the United States Postal
673+20 Service according to the following groupings:
674+21 (1) The geographic service area served by ZIP codes with the first
675+22 three (3) digits 463 and 464.
676+23 (2) The geographic service area served by ZIP codes with the first
677+24 three (3) digits 465 and 466.
678+25 (3) The geographic service area served by ZIP codes with the first
679+26 three (3) digits 467 and 468.
680+27 (4) The geographic service area served by ZIP codes with the first
681+28 three (3) digits 469 and 479.
682+29 (5) The geographic service area served by ZIP codes with the first
683+30 three (3) digits 460, 461 (except 46107), and 473.
684+31 (6) The geographic service area served by the 46107 ZIP code and
685+32 ZIP codes with the first three (3) digits 462.
686+33 (7) The geographic service area served by ZIP codes with the first
687+34 three (3) digits 470, 471, 472, 474, and 478.
688+35 (8) The geographic service area served by ZIP codes with the first
689+36 three (3) digits 475, 476, and 477.
690+37 (k) As used in this chapter, "medical service provider" refers to a
691+38 person or an entity that provides services or products to an employee
692+39 under this chapter. Except as otherwise provided in this chapter, the
693+40 term includes a medical service facility.
694+41 (l) As used in this chapter, "medical service facility" means any of
695+42 the following that provides a service or product under this chapter and
696+2024 IN 264—LS 6545/DI 153 17
697+1 uses the CMS 1450 (UB-04) form or the CMS 1500 (HCFA-1500)
698+2 form for Medicare reimbursement:
699+3 (1) An ambulatory outpatient surgical center (as defined in
700+4 IC 16-18-2-14).
701+5 (2) A hospital (as defined in IC 16-18-2-179).
702+6 (3) A hospital based health facility (as defined in
703+7 IC 16-18-2-180).
704+8 (4) A medical center (as defined in IC 16-18-2-223.4).
705+9 (m) As used in this chapter, "pecuniary liability" means the
706+10 responsibility of an employer or the employer's insurance carrier for the
707+11 payment of the charges for each specific service or product for human
708+12 medical treatment provided under this chapter as follows:
709+13 (1) This subdivision applies before July 1, 2014, to all medical
710+14 service providers, and after June 30, 2014, to a medical service
711+15 provider that is not a medical service facility. Payment of the
712+16 charges in a defined community, equal to or less than the charges
713+17 made by medical service providers at the eightieth percentile in
714+18 the same community for like services or products.
715+19 (2) Payment of the charges in a reasonable amount, which is
716+20 established by payment of one (1) of the following:
717+21 (A) The amount negotiated at any time between the medical
718+22 service facility and any of the following, if an amount has been
719+23 negotiated:
720+24 (i) The employer.
721+25 (ii) The employer's insurance carrier.
722+26 (iii) A billing review service on behalf of a person described
723+27 in item (i) or (ii).
724+28 (iv) A direct provider network that has contracted with a
725+29 person described in item (i) or (ii).
726+30 (B) Two hundred percent (200%) of the amount that would be
727+31 paid to the medical service facility on the same date for the
728+32 same service or product under the medical service facility's
729+33 Medicare reimbursement rate, if, after conducting the
730+34 negotiations described in clause (A), an agreement has not
731+35 been reached.
732+36 (n) "Service or product" or "services and products" refers to
733+37 medical, hospital, surgical, or nursing service, treatment, and supplies
734+38 provided under this chapter.
735+39 SECTION 5. IC 22-3-7-34.2 IS ADDED TO THE INDIANA CODE
736+40 AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
737+41 1, 2024]: Sec. 34.2. (a) An individual may file with the worker's
738+42 compensation board, in a form prescribed by the board, an
739+2024 IN 264—LS 6545/DI 153 18
740+1 application for a certificate of exemption from compliance with
741+2 this chapter.
742+3 (b) An application filed under this section must include the
743+4 following information:
744+5 (1) The individual's name, address, date of birth, and Social
745+6 Security number.
746+7 (2) The name of the religious sect or division of a religious sect
747+8 to which the individual belongs.
748+9 (3) A verified affidavit signed by the individual stating that:
749+10 (A) the individual is a member of the sect or division
750+11 described in subdivision (2);
751+12 (B) the individual adheres to the sect's or division's
752+13 established tenets or teachings that conscientiously oppose
753+14 the acceptance of public or private insurance benefits as
754+15 the result of injury, disability, or death, or for medical care
755+16 for injuries or illnesses, including the benefits from any
756+17 insurance system established by the federal Social Security
757+18 Act (42 U.S.C. 301 et seq.);
758+19 (C) members of the sect or division have a method for
759+20 sharing the costs of work related medical expenses and loss
760+21 of income; and
761+22 (D) the individual knowingly and voluntarily waives the
762+23 individual's rights to all benefits available to the individual
763+24 under this chapter.
764+25 (4) A statement by a leader of the religious sect or division of
765+26 the religious sect described in subdivision (2) that the
766+27 individual is a member of the sect or division.
767+28 (c) A copy of an approved Internal Revenue Service Form 4029,
768+29 Application for Exemption from Social Security and Medicare
769+30 Taxes and Waiver of Benefits, or a successor form, for the
770+31 individual must be filed with an application filed under this section.
771+32 (d) The board shall issue a certificate of exemption not later
772+33 than forty-five (45) days after the board receives a completed
773+34 application and the form described in subsection (c).
774+35 (e) A certificate of exemption issued under this section is
775+36 effective on the date the certificate is issued and remains in effect
776+37 until the date provided in subsection (f)(3).
777+38 (f) If information contained in an affidavit described in
778+39 subsection (b)(3) is no longer true, the following apply:
779+40 (1) Not later than seven (7) days after the date on which the
780+41 change occurs, the individual shall notify the individual's
781+42 employer in writing of the change.
782+2024 IN 264—LS 6545/DI 153 19
783+1 (2) Not later than thirty (30) days after the date on which the
784+2 employer receives the notice described in subdivision (1), the
785+3 individual and the individual's employer shall each notify the
786+4 board in writing of the change.
787+5 (3) Beginning on the date the individual and the individual's
788+6 employer send to the board the notice described in subdivision
789+7 (2), the individual and the individual's employer shall each
790+8 comply with this chapter.
791+9 (g) The board shall maintain a data base consisting of the
792+10 certificates issued under this section and on request verify that a
793+11 certificate is on file.
794+2024 IN 264—LS 6545/DI 153