H.B. No. 2112
AN ACT
relating to certain workers' compensation reporting requirements.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 402.066(a), Labor Code, is amended to
read as follows:
(a) The commissioner shall consider and recommend to the
legislature changes to this subtitle[, including any statutory
changes required by an evaluation conducted under Section 402.074].
SECTION 2. Section 406.007(a), Labor Code, is amended to
read as follows:
(a) An employer who terminates workers' compensation
insurance coverage obtained under this subtitle shall file a
written notice with the division [by certified mail] not later than
the 10th day after the date on which the employer notified the
insurance carrier to terminate the coverage. The notice must
include a statement certifying the date that notice was provided or
will be provided to affected employees under Section 406.005.
SECTION 3. Section 406.008(a), Labor Code, is amended to
read as follows:
(a) An insurance company that cancels a policy of workers'
compensation insurance or that does not renew the policy by the
anniversary date of the policy shall deliver notice of the
cancellation or nonrenewal to the division, and by certified mail,
[or] in person, or by electronic means in accordance with Chapter
35, Insurance Code, to the employer, [and the division] not later
than:
(1) the 30th day before the date on which the
cancellation or nonrenewal takes effect; or
(2) the 10th day before the date on which the
cancellation or nonrenewal takes effect if the insurance company
cancels or does not renew because of:
(A) fraud in obtaining coverage;
(B) misrepresentation of the amount of payroll
for purposes of premium calculation;
(C) failure to pay a premium when due;
(D) an increase in the hazard for which the
employer seeks coverage that results from an act or omission of the
employer and that would produce an increase in the rate, including
an increase because of a failure to comply with:
(i) reasonable recommendations for loss
control; or
(ii) recommendations designed to reduce a
hazard under the employer's control within a reasonable period; or
(E) a determination made by the commissioner of
insurance that the continuation of the policy would place the
insurer in violation of the law or would be hazardous to the
interest of subscribers, creditors, or the general public.
SECTION 4. Section 406.144(d), Labor Code, is amended to
read as follows:
(d) The hiring contractor shall send a copy of an agreement
under this section to:
(1) the hiring contractor's workers' compensation
insurance carrier; and
(2) the division, on the division's request [on filing
of the agreement with the division].
SECTION 5. Section 406.145(c), Labor Code, is amended to
read as follows:
(c) The hiring contractor shall send a copy of a joint
agreement signed under this section to:
(1) the hiring contractor's workers' compensation
insurance carrier; and
(2) the division, on the division's request [on filing
of the joint agreement with the division].
SECTION 6. Section 408.150, Labor Code, is amended to read
as follows:
Sec. 408.150. VOCATIONAL REHABILITATION. (a) The division
shall refer an employee to the Texas Workforce Commission
[Department of Assistive and Rehabilitative Services] with a
recommendation for appropriate services if the division determines
that an employee could be materially assisted by vocational
rehabilitation or training in returning to employment or returning
to employment more nearly approximating the employee's preinjury
employment. [The division shall also notify insurance carriers of
the need for vocational rehabilitation or training services.] The
insurance carrier may provide vocational rehabilitation or
training services through a private provider of vocational
rehabilitation services [under Section 409.012].
(b) An employee who refuses services or refuses to cooperate
with services provided under this section by the Texas Workforce
Commission [Department of Assistive and Rehabilitative Services]
or a private provider loses entitlement to supplemental income
benefits.
SECTION 7. Section 409.010, Labor Code, is amended to read
as follows:
Sec. 409.010. INFORMATION PROVIDED TO EMPLOYEE OR LEGAL
BENEFICIARY. Immediately on receiving notice of an injury or death
from any person, the division shall send [mail] to the employee or
legal beneficiary a clear and concise description of:
(1) the services provided by:
(A) the division; and
(B) the office of injured employee counsel,
including the services of the ombudsman program;
(2) the division's procedures; and
(3) the person's rights and responsibilities under
this subtitle.
SECTION 8. Section 409.011(a), Labor Code, is amended to
read as follows:
(a) Immediately on receiving notice of an injury or death
from any person, the division shall send [mail] to the employer a
description of:
(1) the services provided by the division and the
office of injured employee counsel;
(2) the division's procedures; and
(3) the employer's rights and responsibilities under
this subtitle.
SECTION 9. Sections 409.012(b) and (c), Labor Code, are
amended to read as follows:
(b) If the division determines that an injured employee
would be assisted by vocational rehabilitation, the division shall
notify:
(1) the injured employee in writing of the services
and facilities available through the Texas Workforce Commission
[Department of Assistive and Rehabilitative Services] and private
providers of vocational rehabilitation; and
(2) the Texas Workforce Commission [Department of
Assistive and Rehabilitative Services and the affected insurance
carrier] that the injured employee has been identified as one who
could be assisted by vocational rehabilitation.
(c) The division shall cooperate with the office of injured
employee counsel, the Texas Workforce Commission [Department of
Assistive and Rehabilitative Services], and private providers of
vocational rehabilitation in the provision of services and
facilities to employees by the Texas Workforce Commission
[Department of Assistive and Rehabilitative Services].
SECTION 10. Section 409.013(b), Labor Code, is amended to
read as follows:
(b) On receipt of a report under Section 409.005, the
division shall:
(1) contact the affected employee; [by mail or by
telephone] and
(2) [shall] provide the information required under
Subsection (a) to that employee, together with any other
information that may be prepared by the office of injured employee
counsel or the division for public dissemination that relates to
the employee's situation, such as information relating to back
injuries or occupational diseases.
SECTION 11. The following provisions of the Labor Code are
repealed:
(1) Section 402.074;
(2) Section 406.144(c);
(3) Sections 406.145(b) and (d);
(4) Section 408.032;
(5) Section 408.086; and
(6) Section 409.012(d).
SECTION 12. The change in law made by this Act applies only
to a notice, agreement, description, or information required to be
sent or provided on or after the effective date of this Act.
SECTION 13. This Act takes effect immediately if it
receives a vote of two-thirds of all the members elected to each
house, as provided by Section 39, Article III, Texas Constitution.
If this Act does not receive the vote necessary for immediate
effect, this Act takes effect September 1, 2017.
______________________________ ______________________________
President of the Senate Speaker of the House
I certify that H.B. No. 2112 was passed by the House on April
13, 2017, by the following vote: Yeas 137, Nays 1, 3 present, not
voting; and that the House concurred in Senate amendments to H.B.
No. 2112 on May 26, 2017, by the following vote: Yeas 144, Nays 0,
2 present, not voting.
______________________________
Chief Clerk of the House
I certify that H.B. No. 2112 was passed by the Senate, with
amendments, on May 24, 2017, by the following vote: Yeas 31, Nays
0.
______________________________
Secretary of the Senate
APPROVED: __________________
Date
__________________
Governor