| 1 | 1 | | 1.1 A bill for an act |
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| 2 | 2 | | 1.2 relating to workers' compensation insurance; establishing requirements for |
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| 3 | 3 | | 1.3 certificates of insurance to prevent fraud; proposing coding for new law in |
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| 4 | 4 | | 1.4 Minnesota Statutes, chapter 176. |
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| 5 | 5 | | 1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: |
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| 6 | 6 | | 1.6 Section 1. [176.1781] WORKERS' COMPENSATION FRAUD PREVENTION; |
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| 7 | 7 | | 1.7CERTIFICATES OF INSURANCE. |
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| 8 | 8 | | 1.8 Subdivision 1.Definitions.(a) For purposes of this section, the following terms have |
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| 9 | 9 | | 1.9the meanings given. |
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| 10 | 10 | | 1.10 (b) "Certificate of insurance" means documentation that provides evidence of workers' |
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| 11 | 11 | | 1.11compensation insurance coverage. |
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| 12 | 12 | | 1.12 (c) "QR code" or "quick response code" means a machine-readable code consisting of |
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| 13 | 13 | | 1.13an array of black and white squares, used to provide access to online information through |
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| 14 | 14 | | 1.14the camera on a digital device such as a cell phone. |
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| 15 | 15 | | 1.15 Subd. 2.Verification; requirements for employers.(a) Every certificate of insurance |
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| 16 | 16 | | 1.16issued as proof of workers' compensation insurance coverage must include a scannable QR |
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| 17 | 17 | | 1.17code that is capable of linking to the original certificate of insurance information, which |
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| 18 | 18 | | 1.18includes but is not limited to verification of coverage and the expiration date of coverage |
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| 19 | 19 | | 1.19that is contained in the department's workers' compensation insurance verification system. |
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| 20 | 20 | | 1.20 (b) An employer obtaining a certificate of insurance for workers' compensation insurance |
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| 21 | 21 | | 1.21must report to the commissioner: |
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| 22 | 22 | | 1.22 (1) the number of employees being insured, by classification of employee; and |
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| 23 | 23 | | 1Section 1. |
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| 24 | 24 | | 25-03123 as introduced02/04/25 REVISOR SS/CH |
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| 25 | 25 | | SENATE |
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| 26 | 26 | | STATE OF MINNESOTA |
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| 27 | 27 | | S.F. No. 2256NINETY-FOURTH SESSION |
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| 28 | 28 | | (SENATE AUTHORS: OUMOU VERBETEN) |
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| 29 | 29 | | OFFICIAL STATUSD-PGDATE |
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| 30 | 30 | | Introduction and first reading03/06/2025 |
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| 31 | 31 | | Referred to Labor 2.1 (2) the estimated payroll for the period of coverage on each policy. |
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| 32 | 32 | | 2.2 Subd. 3.Requirements for insurers.(a) An insurer must track the number of certificates |
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| 33 | 33 | | 2.3of insurance issued as evidence of coverage by the insurer's insurance broker. Data on the |
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| 34 | 34 | | 2.4number of certificates of insurance issued must be reported to the insurer and to the |
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| 35 | 35 | | 2.5department for tracking in the department's workers' compensation insurance verification |
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| 36 | 36 | | 2.6system. |
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| 37 | 37 | | 2.7 (b) An insurer must track information about employers who have been found to have |
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| 38 | 38 | | 2.8committed workers' compensation premium fraud by the department or the Department of |
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| 39 | 39 | | 2.9Commerce or have been found to have missed a renewal period audit. The information |
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| 40 | 40 | | 2.10under this paragraph must also be maintained by the insurer in the Insurance Services Office |
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| 41 | 41 | | 2.11system. |
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| 42 | 42 | | 2.12 Subd. 4.Enforcement.The commissioner may enforce this section as provided under |
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| 43 | 43 | | 2.13section 176.184. |
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| 44 | 44 | | 2Section 1. |
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| 45 | 45 | | 25-03123 as introduced02/04/25 REVISOR SS/CH |
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