AB168

Assembly Bill No. 168–Assemblymen Giunchigliani, Anderson, Parks, Goldwater, Gibbons, Arberry, Atkinson, Buckley, Claborn, Collins, Conklin, Horne, Leslie, Manendo and Williams

February 20, 2003

____________

Joint Sponsor: Senator Carlton

____________

Referred to Committee on Commerce and Labor

SUMMARY—Revises provisions governing industrial insurance. (BDR 53‑255)

FISCAL NOTE: Effect on Local Government: No.

Effect on the State: No.

EXPLANATION – Matter in bolded italics is new; matter between brackets [~~omitted material]~~ is material to be omitted.

Green numbers along left margin indicate location on the printed bill (e.g., 5-15 indicates page 5, line 15).

AN ACT relating to industrial insurance; requiring an insurer who provides industrial insurance in certain counties to ensure the availability of certain services for injured employees within those counties; revising the requirements for reimbursement for certain providers of health care; authorizing an injured employee to choose any physician or chiropractor under certain circumstances; revising the requirements for determining the percentage of disability for certain injuries and occupational diseases; authorizing a person who is aggrieved by a written determination of the Administrator or the failure of the Administrator to respond to a written request to appeal the determination or failure to respond to an appeals officer under certain circumstances; revising the requirements related to light-duty employment; increasing the compensation payable to an injured workman if his employer or an agent of his employer removes certain safeguards or protections under certain circumstances; and providing other matters properly relating thereto.

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

1-1 Section 1. NRS 616A.070 is hereby amended to read as

1-2 follows:

1-3 616A.070 “Benefit penalty” means an additional amount of

1-4 money that is payable to a claimant if the Administrator has

1-5 determined that a violation of any of the provisions of paragraphs

1-6 (a) to [(d),] (e), inclusive, of subsection 1 of NRS 616D.120 has

1-7 occurred.

1-8 Sec. 2. Chapter 616B of NRS is hereby amended by adding

1-9 thereto a new section to read as follows:

1-10 1. Each insurer who provides industrial insurance in a

1-11 county whose population is 10,000 or more shall ensure that the

1-12 services of at least one general practitioner, one orthopedist, one

1-13 neurologist, one internist and one chiropractor are available for

1-14 injured employees for each group of 10,000 natural persons

1-15 residing within that county.

1-16 2. If a dispute arises pursuant to this section, the insurer

1-17 shall, as soon as practicable after the dispute arises, issue a

1-18 written determination concerning the dispute. Any person who is

1-19 aggrieved by a written determination issued pursuant to this

1-20 subsection may appeal the determination in accordance with the

1-21 provisions of NRS 616C.315 to 616C.385, inclusive.

1-22 Sec. 3. NRS 616B.527 is hereby amended to read as follows:

1-23 616B.527 1. A self-insured employer, an association of self-

1-24 insured public or private employers or a private carrier may:

1-25 (a) Enter into a contract or contracts with one or more

1-26 organizations for managed care to provide comprehensive medical

1-27 and health care services to employees for injuries and diseases that

1-28 are compensable pursuant to chapters 616A to 617, inclusive, of

1-29 NRS.

1-30 (b) Enter into a contract or contracts with providers of health

1-31 care, including, without limitation, physicians who provide primary

1-32 care, specialists, pharmacies, physical therapists, radiologists,

1-33 nurses, diagnostic facilities, laboratories, hospitals and facilities that

1-34 provide treatment to outpatients, to provide medical and health care

1-35 services to employees for injuries and diseases that are compensable

1-36 pursuant to chapters 616A to 617, inclusive, of NRS.

1-37 (c) [Require] Except as otherwise provided in section 4 of this

1-38 act, require employees to obtain medical and health care services

1-39 for their industrial injuries from those organizations and persons

1-40 with whom the self-insured employer, association or private carrier

1-41 has contracted pursuant to paragraphs (a) and (b), or as the self-

2-1 insured employer, association or private carrier otherwise

2-2 prescribes.

2-3 (d) Except as otherwise provided in subsection 3 of NRS

2-4 616C.090[,] and section 4 of this act, require employees to obtain

2-5 the approval of the self-insured employer, association or private

2-6 carrier before obtaining medical and health care services for their

2-7 industrial injuries from a provider of health care who has not been

2-8 previously approved by the self-insured employer, association or

2-9 private carrier.

2-10 2. An organization for managed care with whom a self-insured

2-11 employer, association of self-insured public or private employers or

2-12 a private carrier has contracted pursuant to this section shall comply

2-13 with the provisions of NRS 616B.528, 616B.5285 and 616B.529.

2-14 3. Any payment received by an organization for managed

2-15 care or a provider of health care for providing services to an

2-16 injured employee pursuant to a contract entered into pursuant to

2-17 this section must not be less than 10 percent below the amount, if

2-18 any, established for the service by the Administrator pursuant to

2-19 NRS 616C.260.

2-20 Sec. 4. Chapter 616C of NRS is hereby amended by adding

2-21 thereto a new section to read as follows:

2-22 1. An injured employee may choose any physician or

2-23 chiropractor in this state as his treating physician or chiropractor

2-24 for his injury. If the insurer of the employer of the injured

2-25 employee has not entered into a contract with an organization for

2-26 managed care or with a provider of health care services pursuant

2-27 to NRS 616B.527, the insurer shall reimburse the physician or

2-28 chiropractor for any services provided by him to the injured

2-29 employee in the same manner as a physician or chiropractor who

2-30 is a member of the panel of physicians and chiropractors

2-31 established pursuant to NRS 616C.090. If the insurer has entered

2-32 into such a contract, the insurer shall, if the physician or

2-33 chiropractor accepts the terms of the contract, reimburse the

2-34 physician or chiropractor for any services provided by him to the

2-35 injured employee in same manner as a physician or chiropractor

2-36 pursuant to the contract.

2-37 2. If the injured employee is not satisfied with the first

2-38 physician or chiropractor he chooses pursuant to subsection 1, the

2-39 injured employee may make an alternative choice of physician or

2-40 chiropractor pursuant to that subsection.

2-41 3. Any payment received by a physician or chiropractor for

2-42 providing services to an injured employee pursuant to this section

2-43 must not be less than 10 percent below the amount established for

2-44 the service by the Administrator pursuant to NRS 616C.260.

3-1 4. The Administrator shall design a form for notifying an

3-2 injured employee of his right to select an alternative treating

3-3 physician or chiropractor pursuant to this section and make the

3-4 form available to each insurer for distribution pursuant to

3-5 subsection 2 of NRS 616C.050.

3-6 5. If a dispute arises pursuant to this section, the insurer

3-7 shall, as soon as practicable after the dispute arises, issue a

3-8 written determination concerning the dispute. Any person who is

3-9 aggrieved by a written determination issued pursuant to this

3-10 subsection may appeal the determination in accordance with the

3-11 provisions of NRS 616C.315 to 616C.385, inclusive.

3-12 Sec. 5. NRS 616C.050 is hereby amended to read as follows:

3-13 616C.050 1. An insurer shall provide to each claimant:

3-14 (a) Upon written request, one copy of any medical information

3-15 concerning his injury or illness.

3-16 (b) A statement which contains information concerning the

3-17 claimant’s right to:

3-18 (1) Receive the information and forms necessary to file a

3-19 claim;

3-20 (2) Select a treating physician or chiropractor and an

3-21 alternative treating physician or chiropractor in accordance with the

3-22 provisions of NRS 616C.090[;] and section 4 of this act;

3-23 (3) Request the appointment of the Nevada Attorney for

3-24 Injured Workers to represent him before the appeals officer;

3-25 (4) File a complaint with the Administrator;

3-26 (5) When applicable, receive compensation for:

3-27 (I) Permanent total disability;

3-28 (II) Temporary total disability;

3-29 (III) Permanent partial disability;

3-30 (IV) Temporary partial disability; or

3-31 (V) All medical costs related to his injury or disease;

3-32 (6) Receive services for rehabilitation if his injury prevents

3-33 him from returning to gainful employment;

3-34 (7) Review by a hearing officer of any determination or

3-35 rejection of a claim by the insurer within the time specified by

3-36 statute; and

3-37 (8) Judicial review of any final decision within the time

3-38 specified by statute.

3-39 2. The insurer’s statement must include a copy of the [form]

3-40 forms designed by the Administrator pursuant to subsection 7 of

3-41 NRS 616C.090 [that notifies injured employees of their] and

3-42 subsection 4 of section 4 of this act for notifying each employee of

3-43 his right to select an alternative treating physician or chiropractor.

3-44 The Administrator shall adopt regulations [for] setting forth the

4-1 manner of compliance by an insurer with the [other] remaining

4-2 provisions of subsection 1.

4-3 Sec. 6. NRS 616C.090 is hereby amended to read as follows:

4-4 616C.090 1. The Administrator shall establish a panel of

4-5 physicians and chiropractors who have demonstrated special

4-6 competence and interest in industrial health to treat injured

4-7 employees under chapters 616A to 616D, inclusive, or chapter 617

4-8 of NRS. Every employer whose insurer has not entered into a

4-9 contract with an organization for managed care or with providers of

4-10 health care services pursuant to NRS 616B.527 shall maintain a list

4-11 of those physicians and chiropractors on the panel who are

4-12 reasonably accessible to his employees.

4-13 2. [An] Except as otherwise provided in section 4 of this act,

4-14 an injured employee whose employer’s insurer has not entered into

4-15 a contract with an organization for managed care or with providers

4-16 of health care services pursuant to NRS 616B.527 may choose his

4-17 treating physician or chiropractor from the panel of physicians and

4-18 chiropractors. If the injured employee is not satisfied with the first

4-19 physician or chiropractor he so chooses, he may make an alternative

4-20 choice of physician or chiropractor from the panel if the choice is

4-21 made within 90 days after his injury. The insurer shall notify the

4-22 first physician or chiropractor in writing. The notice must be

4-23 postmarked within 3 working days after the insurer receives

4-24 knowledge of the change. The first physician or chiropractor must

4-25 be reimbursed only for the services he rendered to the injured

4-26 employee up to and including the date of notification. Except as

4-27 otherwise provided in this subsection, any further change is subject

4-28 to the approval of the insurer, which must be granted or denied

4-29 within 10 days after a written request for such a change is received

4-30 from the injured employee. If no action is taken on the request

4-31 within 10 days, the request shall be deemed granted. Any request for

4-32 a change of physician or chiropractor must include the name of the

4-33 new physician or chiropractor chosen by the injured employee. If

4-34 the treating physician or chiropractor refers the injured employee to

4-35 a specialist for treatment, the treating physician or chiropractor shall

4-36 provide to the injured employee a list that includes the name of each

4-37 physician or chiropractor with that specialization who is on the

4-38 panel. After receiving the list, the injured employee shall, at the time

4-39 the referral is made, select a physician or chiropractor from the list.

4-40 3. [An] Except as otherwise provided in section 4 of this act,

4-41 an injured employee whose employer’s insurer has entered into a

4-42 contract with an organization for managed care or with providers of

4-43 health care services pursuant to NRS 616B.527 must choose his

4-44 treating physician or chiropractor pursuant to the terms of that

4-45 contract. If the injured employee is not satisfied with the first

5-1 physician or chiropractor he so chooses, he may make an alternative

5-2 choice of physician or chiropractor pursuant to the terms of the

5-3 contract if the choice is made within 90 days after his injury. If the

5-4 injured employee, after choosing his treating physician or

5-5 chiropractor, moves to a county which is not served by the

5-6 organization for managed care or providers of health care services

5-7 named in the contract and the insurer determines that it is

5-8 impractical for the injured employee to continue treatment with the

5-9 physician or chiropractor, the injured employee must choose a

5-10 treating physician or chiropractor who has agreed to the terms of

5-11 that contract unless the insurer authorizes the injured employee to

5-12 choose another physician or chiropractor. If the treating physician or

5-13 chiropractor refers the injured employee to a specialist for treatment,

5-14 the treating physician or chiropractor shall provide to the injured

5-15 employee a list that includes the name of each physician or

5-16 chiropractor with that specialization who is available pursuant to the

5-17 terms of the contract with the organization for managed care or with

5-18 providers of health care services pursuant to NRS 616B.527, as

5-19 appropriate. After receiving the list, the injured employee shall,

5-20 at the time the referral is made, select a physician or chiropractor

5-21 from the list. If the employee fails to select a physician or

5-22 chiropractor, the insurer may select a physician or chiropractor with

5-23 that specialization. If a physician or chiropractor with that

5-24 specialization is not available pursuant to the terms of the contract,

5-25 the organization for managed care or the provider of health care

5-26 services may select a physician or chiropractor with that

5-27 specialization.

5-28 4. Except when emergency medical care is required and except

5-29 as otherwise provided in NRS 616C.055[,] and section 4 of this

5-30 act, the insurer is not responsible for any charges for medical

5-31 treatment or other accident benefits furnished or ordered by any

5-32 physician, chiropractor or other person selected by the injured

5-33 employee in disregard of the provisions of this section or for any

5-34 compensation for any aggravation of the injured employee’s injury

5-35 attributable to improper treatments by such physician, chiropractor

5-36 or other person.

5-37 5. The Administrator may order necessary changes in a panel

5-38 of physicians and chiropractors and shall suspend or remove any

5-39 physician or chiropractor from a panel for good cause shown.

5-40 6. An injured employee may receive treatment by more than

5-41 one physician or chiropractor if the insurer provides written

5-42 authorization for such treatment.

5-43 7. The Administrator shall design a form [that notifies injured

5-44 employees of their] for notifying an injured employee of his right

5-45 pursuant to subsections 2 and 3 to select an alternative treating

6-1 physician or chiropractor and make the form available to insurers

6-2 for distribution pursuant to subsection 2 of NRS 616C.050.

6-3 Sec. 7. NRS 616C.110 is hereby amended to read as follows:

6-4 616C.110 1. For the purposes of NRS 616B.557, 616C.490

6-5 and 617.459, the Division [shall] :

6-6 (a) Shall adopt regulations incorporating by reference the most

6-7 recently published edition of the American Medical Association’s

6-8 Guides to the Evaluation of Permanent Impairment [by reference

6-9 and may] not later than 1 year after the publication of that edition;

6-10 and

6-11 (b) May amend those regulations from time to time as it deems

6-12 necessary. [In adopting the Guides to the Evaluation of Permanent

6-13 Impairment, the Division shall consider the edition most recently

6-14 published by the American Medical Association.]

6-15 2. If the Guides to the Evaluation of Permanent Impairment

6-16 adopted by the Division contain more than one method of

6-17 determining the rating of an impairment, the Administrator shall

6-18 designate by regulation the method which must be used to rate an

6-19 impairment pursuant to NRS 616C.490.

6-20 Sec. 8. NRS 616C.265 is hereby amended to read as follows:

6-21 616C.265 1. Except as otherwise provided in NRS 616C.280,

6-22 every employer operating under chapters 616A to 616D, inclusive,

6-23 of NRS, alone or together with other employers, may make

6-24 arrangements to provide accident benefits as defined in those

6-25 chapters for injured employees.

6-26 2. Employers electing to make such arrangements shall notify

6-27 the Administrator of the election and render a detailed statement of

6-28 the arrangements made, which arrangements do not become

6-29 effective until approved by the Administrator.

6-30 3. Every employer who maintains a hospital of any kind for his

6-31 employees, or who contracts for the hospital care of injured

6-32 employees, shall, on or before January 30 of each year, make a

6-33 written report to the Administrator for the preceding year, which

6-34 must contain a statement showing:

6-35 (a) The total amount of hospital fees collected, showing

6-36 separately the amount contributed by the employees and the amount

6-37 contributed by the employers;

6-38 (b) An itemized account of the expenditures, investments or

6-39 other disposition of such fees; and

6-40 (c) What balance, if any, remains.

6-41 4. Every employer who provides accident benefits pursuant to

6-42 this section:

6-43 (a) Shall, in accordance with regulations adopted by the

6-44 Administrator, make a written report to the Division of his actual

6-45 and expected annual expenditures for claims and such other

7-1 information as the Division deems necessary to calculate an

7-2 estimated or final annual assessment and shall, to the extent that the

7-3 regulations refer to the responsibility of insurers to make such

7-4 reports, be deemed to be an insurer.

7-5 (b) Shall pay the assessments collected pursuant to NRS

7-6 232.680 and 616A.430.

7-7 5. The reports required by the provisions of subsections 3 and 4

7-8 must be verified:

7-9 (a) If the employer is a natural person, by the employer;

7-10 (b) If the employer is a partnership, by one of the partners;

7-11 (c) If the employer is a corporation, by the secretary, president,

7-12 general manager or other executive officer of the corporation; or

7-13 (d) If the employer has contracted with a physician or

7-14 chiropractor for the hospital care of injured employees, by the

7-15 physician or chiropractor.

7-16 6. No employee is required to accept the services of a

7-17 physician or chiropractor provided by his employer, but may seek

7-18 professional medical services of his choice as provided in NRS

7-19 616C.090[.] and section 4 of this act. Expenses arising from such

7-20 medical services must be paid by the employer who has elected to

7-21 provide benefits, pursuant to the provisions of this section, for his

7-22 injured employees.

7-23 7. Every employer who fails to notify the Administrator of

7-24 such election and arrangements, or who fails to render the financial

7-25 reports required, is liable for accident benefits as provided by

7-26 NRS 616C.255.

7-27 Sec. 9. NRS 616C.340 is hereby amended to read as follows:

7-28 616C.340 1. The Governor shall appoint one or more appeals

7-29 officers to conduct hearings [in contested claims for compensation

7-30 pursuant to NRS 616C.360.] and appeals as required pursuant to

7-31 chapters 616A to 617, inclusive, of NRS. Each appeals officer shall

7-32 hold office for 2 years [from] after the date of his appointment and

7-33 until his successor is appointed and has qualified. Each appeals

7-34 officer is entitled to receive an annual salary in an amount provided

7-35 by law and is in the unclassified service of the State.

7-36 2. Each appeals officer must be an attorney who has been

7-37 licensed to practice law before all the courts of this state for at least

7-38 2 years. Except as otherwise provided in NRS 7.065, an appeals

7-39 officer shall not engage in the private practice of law.

7-40 3. If an appeals officer determines that he has a personal

7-41 interest or a conflict of interest, directly or indirectly, in any case

7-42 which is before him, he shall disqualify himself from hearing the

7-43 case.

7-44 4. The Governor may appoint one or more special appeals

7-45 officers to conduct hearings [in contested claims for compensation

8-1 pursuant to NRS 616C.360.] and appeals as required pursuant to

8-2 chapters 616A to 617, inclusive, of NRS. The Governor shall not

8-3 appoint an attorney who represents persons in actions related to

8-4 claims for compensation to serve as a special appeals officer.

8-5 5. A special appeals officer appointed pursuant to subsection 4

8-6 is vested with the same powers as a regular appeals officer. A

8-7 special appeals officer may hear any case in which a regular appeals

8-8 officer has a conflict, or any case assigned to him by the Senior

8-9 Appeals Officer to assist with a backlog of cases. A special appeals

8-10 officer is entitled to be paid at an hourly rate, as determined by the

8-11 Department of Administration.

8-12 6. The decision of an appeals officer is the final and binding

8-13 administrative determination of a claim for compensation under

8-14 chapters 616A to 616D, inclusive, or chapter 617 of NRS, and the

8-15 whole record consists of all evidence taken at the hearing before the

8-16 appeals officer and any findings of fact and conclusions of law

8-17 based thereon.

8-18 Sec. 10. NRS 616C.345 is hereby amended to read as follows:

8-19 616C.345 1. Any party aggrieved by a decision of the

8-20 hearing officer relating to a claim for compensation may appeal

8-21 from the decision by filing a notice of appeal with an appeals officer

8-22 within 30 days after the date of the decision.

8-23 2. If a dispute is required to be submitted to a procedure for

8-24 resolving complaints pursuant to NRS 616C.305 and:

8-25 (a) A final determination was rendered pursuant to that

8-26 procedure; or

8-27 (b) The dispute was not resolved pursuant to that procedure

8-28 within 14 days after it was submitted,

8-29 any party to the dispute may file a notice of appeal within 70 days

8-30 after the date on which the final determination was mailed to the

8-31 employee, or his dependent, or the unanswered request for

8-32 resolution was submitted. Failure to render a written determination

8-33 within 30 days after receipt of such a request shall be deemed by the

8-34 appeals officer to be a denial of the request.

8-35 3. Except as otherwise provided in NRS 616C.380, the filing of

8-36 a notice of appeal does not automatically stay the enforcement of the

8-37 decision of a hearing officer or a determination rendered pursuant to

8-38 NRS 616C.305. The appeals officer may order a stay, when

8-39 appropriate, upon the application of a party. If such an application is

8-40 submitted, the decision is automatically stayed until a determination

8-41 is made concerning the application. A determination on the

8-42 application must be made within 30 days after the filing of

8-43 the application. If a stay is not granted by the officer after reviewing

8-44 the application, the decision must be complied with within 10 days

8-45 after the date of the refusal to grant a stay.

9-1 4. Except as otherwise provided in this subsection, [the appeals

9-2 officer shall,] within 10 days after receiving a notice of appeal

9-3 pursuant to this section or NRS 616D.140, or within 10 days after

9-4 receiving a notice of a contested claim pursuant to subsection 5 of

9-5 NRS 616C.315, the appeals officer shall schedule a hearing on the

9-6 merits of the appeal or contested claim for a date and time within 90

9-7 days after his receipt of the notice and give notice by mail or by

9-8 personal service to all parties to the matter and their attorneys or

9-9 agents at least 30 days before the date and time scheduled. A request

9-10 to schedule the hearing for a date and time which is:

9-11 (a) Within 60 days after the receipt of the notice of appeal or

9-12 contested claim; or

9-13 (b) More than 90 days after the receipt of the notice or

9-14 claim,

9-15 may be submitted to the appeals officer only if all parties to the

9-16 appeal or contested claim agree to the request.

9-17 5. An appeal or contested claim may be continued upon written

9-18 stipulation of all parties, or upon good cause shown.

9-19 6. Failure to file a notice of appeal within the period specified

9-20 in subsection 1 or 2 may be excused if the party aggrieved shows by

9-21 a preponderance of the evidence that he did not receive the notice of

9-22 the determination and the forms necessary to appeal the

9-23 determination. The claimant, employer or insurer shall notify the

9-24 hearing officer of a change of address.

9-25 Sec. 11. NRS 616C.475 is hereby amended to read as follows:

9-26 616C.475 1. Except as otherwise provided in this section,

9-27 NRS 616C.175 and 616C.390, every employee in the employ of an

9-28 employer, within the provisions of chapters 616A to 616D,

9-29 inclusive, of NRS, who is injured by accident arising out of and in

9-30 the course of employment, or his dependents, is entitled to receive

9-31 for the period of temporary total disability, 66 2/3 percent of the

9-32 average monthly wage.

9-33 2. Except as otherwise provided in NRS 616B.028 and

9-34 616B.029, an injured employee or his dependents are not entitled to

9-35 accrue or be paid any benefits for a temporary total disability during

9-36 the time the injured employee is incarcerated. The injured employee

9-37 or his dependents are entitled to receive such benefits when the

9-38 injured employee is released from incarceration if he is certified as

9-39 temporarily totally disabled by a physician or chiropractor.

9-40 3. If a claim for the period of temporary total disability is

9-41 allowed, the first payment pursuant to this section must be issued by

9-42 the insurer within 14 working days after receipt of the initial

9-43 certification of disability and regularly thereafter.

9-44 4. Any increase in compensation and benefits effected by the

9-45 amendment of subsection 1 is not retroactive.

10-1 5. Payments for a temporary total disability must cease when:

10-2 (a) A physician or chiropractor determines that the employee is

10-3 physically capable of any gainful employment for which the

10-4 employee is suited, after giving consideration to the employee’s

10-5 education, training and experience;

10-6 (b) The employer offers the employee light-duty employment or

10-7 employment that is modified according to the limitations or

10-8 restrictions imposed by a physician or chiropractor pursuant to

10-9 subsection 7; or

10-10 (c) Except as otherwise provided in NRS 616B.028 and

10-11 616B.029, the employee is incarcerated.

10-12 6. Each insurer may, with each check that it issues to an injured

10-13 employee for a temporary total disability, include a form approved

10-14 by the Division for the injured employee to request continued

10-15 compensation for the temporary total disability.

10-16 7. A certification of disability issued by a physician or

10-17 chiropractor must:

10-18 (a) Include the period of disability and a description of any

10-19 physical limitations or restrictions imposed upon the work of the

10-20 employee;

10-21 (b) Specify whether the limitations or restrictions are permanent

10-22 or temporary; and

10-23 (c) Be signed by the treating physician or chiropractor

10-24 authorized pursuant to NRS 616B.527 or appropriately chosen

10-25 pursuant to subsection 3 of NRS 616C.090[.] or section 4 of this

10-26 act.

10-27 8. If the certification of disability specifies that the physical

10-28 limitations or restrictions are temporary, the employer of the

10-29 employee at the time of his accident [is not required to comply] may

10-30 offer temporary, light-duty employment to the employee. If the

10-31 employer makes such an offer, the employee may accept or reject

10-32 the offer within 3 days after he receives it. The making,

10-33 acceptance or rejection of an offer of temporary, light-duty

10-34 employment pursuant to this subsection does not exempt the

10-35 employer from complying with NRS 616C.545 to 616C.575,

10-36 inclusive, and 616C.590 or the regulations adopted by the Division

10-37 governing vocational rehabilitation services . [if the employer offers

10-38 the employee temporary, light -duty employment.] Any offer of

10-39 temporary, light-duty employment made by the employer must be in

10-40 writing and mailed to or served upon the employee and must

10-41 specify a position that:

10-42 (a) Is substantially similar to the employee’s position at the time

10-43 of his injury in relation to the location of the employment and the

10-44 hours he is required to work; [and]

10-45 (b) Provides a gross wage that is:

11-1 (1) If the position is in the same classification of

11-2 employment, equal to the gross wage the employee was earning at

11-3 the time of his injury; or

11-4 (2) If the position is not in the same classification of

11-5 employment, substantially similar to the gross wage the employee

11-6 was earning at the time of his injury[.] ; and

11-7 (c) Has the same seniority and benefits as the position of the

11-8 employee at the time of his injury.

11-9 Sec. 12. NRS 616C.495 is hereby amended to read as follows:

11-10 616C.495 1. Except as otherwise provided in NRS 616C.380,

11-11 an award for a permanent partial disability may be paid in a lump

11-12 sum under the following conditions:

11-13 (a) A claimant injured on or after July 1, 1973, and before

11-14 July 1, 1981, who incurs a disability that does not exceed 12 percent

11-15 may elect to receive his compensation in a lump sum. A claimant

11-16 injured on or after July 1, 1981, and before July 1, 1995, who incurs

11-17 a disability that does not exceed 25 percent may elect to receive his

11-18 compensation in a lump sum.

11-19 (b) The spouse, or in the absence of a spouse, any dependent

11-20 child of a deceased claimant injured on or after July 1, 1973, who is

11-21 not entitled to compensation in accordance with NRS 616C.505, is

11-22 entitled to a lump sum equal to the present value of the deceased

11-23 claimant’s undisbursed award for a permanent partial disability.

11-24 (c) Any claimant injured on or after July 1, 1981, and before

11-25 July 1, 1995, who incurs a disability that exceeds 25 percent may

11-26 elect to receive his compensation in a lump sum equal to the present

11-27 value of an award for a disability of 25 percent. If the claimant

11-28 elects to receive compensation pursuant to this paragraph, the

11-29 insurer shall pay in installments to the claimant that portion of the

11-30 claimant’s disability in excess of 25 percent.

11-31 (d) Any claimant injured on or after July 1, 1995, may elect to

11-32 receive his compensation in a lump sum in accordance with

11-33 regulations adopted by the Administrator and approved by the

11-34 Governor. The Administrator shall adopt regulations for

11-35 determining the eligibility of such a claimant to receive all or any

11-36 portion of his compensation in a lump sum. Such regulations may

11-37 include the manner in which an award for a permanent partial

11-38 disability may be paid to such a claimant in installments.

11-39 Notwithstanding the provisions of NRS 233B.070, any regulation

11-40 adopted pursuant to this paragraph does not become effective unless

11-41 it is first approved by the Governor.

11-42 2. If the claimant elects to receive his payment for a permanent

11-43 partial disability in a lump sum pursuant to subsection 1, all of his

11-44 benefits for compensation terminate. His acceptance of that payment

11-45 constitutes a final settlement of all factual and legal issues in the

12-1 case. By so accepting , he waives all of his rights regarding the

12-2 claim, including the right to appeal from the closure of the case or

12-3 the percentage of his disability, except:

12-4 (a) His right to reopen his claim according to the provisions of

12-5 NRS 616C.390; and

12-6 (b) Any counseling, training or other rehabilitative services

12-7 provided by the insurer.

12-8 The claimant must be advised in writing of the provisions of this

12-9 subsection when he demands his payment in a lump sum, and has 20

12-10 days after the mailing or personal delivery of [this] the notice within

12-11 which to retract or reaffirm his demand, before payment may be

12-12 made and his election becomes final. The provisions of this

12-13 subsection do not prohibit the claimant from taking any action

12-14 relating to his claim pursuant to chapter 616D of NRS.

12-15 3. Any lump-sum payment which has been paid on a claim

12-16 incurred on or after July 1, 1973, must be supplemented if necessary

12-17 to conform to the provisions of this section.

12-18 4. Except as otherwise provided in this subsection, the total

12-19 lump-sum payment for disablement must not be less than one-half

12-20 the product of the average monthly wage multiplied by the

12-21 percentage of disability. If the claimant received compensation in

12-22 installment payments for his permanent partial disability before

12-23 electing to receive his payment for that disability in a lump sum, the

12-24 lump-sum payment must be calculated for the remaining payment of

12-25 compensation.

12-26 5. The lump sum payable must be equal to the present value of

12-27 the compensation awarded, less any advance payment or lump sum

12-28 previously paid. The present value must be calculated using monthly

12-29 payments in the amounts prescribed in subsection 7 of NRS

12-30 616C.490 and actuarial annuity tables adopted by the Division. The

12-31 tables must be reviewed annually by a consulting actuary.

12-32 6. If a claimant would receive more money by electing to

12-33 receive compensation in a lump sum than he would if he receives

12-34 installment payments, he may elect to receive the lump-sum

12-35 payment.

12-36 Sec. 13. NRS 616C.590 is hereby amended to read as follows:

12-37 616C.590 1. Except as otherwise provided in this section, an

12-38 injured employee is not eligible for vocational rehabilitation

12-39 services, unless:

12-40 (a) The treating physician or chiropractor approves the return of

12-41 the injured employee to work but imposes permanent restrictions

12-42 that prevent the injured employee from returning to the position that

12-43 he held at the time of his injury;

12-44 (b) The injured employee’s employer does not offer

12-45 employment that:

13-1 (1) The employee is eligible for considering the restrictions

13-2 imposed pursuant to paragraph (a); [and]

13-3 (2) Provides a gross wage that is equal to or greater than 80

13-4 percent of the gross wage that the employee was earning at the time

13-5 of his injury; and

13-6 (3) Has the same seniority and benefits as the position of

13-7 the employee at the time of his injury; and

13-8 (c) The injured employee is unable to return to gainful

13-9 employment with any other employer at a gross wage that is equal

13-10 to or greater than 80 percent of the gross wage that the employee

13-11 was earning at the time of his injury.

13-12 2. If the treating physician or chiropractor imposes permanent

13-13 restrictions on the injured employee for the purposes of paragraph

13-14 (a) of subsection 1, he shall specify in writing:

13-15 (a) The medically objective findings upon which his

13-16 determination is based; and

13-17 (b) A detailed description of the restrictions.

13-18 The treating physician or chiropractor shall deliver a copy of the

13-19 findings and the description of the restrictions to the insurer.

13-20 3. If there is a question as to whether the restrictions imposed

13-21 upon the injured employee are permanent, the employee may

13-22 receive vocational rehabilitation services until a final determination

13-23 concerning the duration of the restrictions is made.

13-24 4. Vocational rehabilitation services must cease as soon as the

13-25 injured employee is no longer eligible for the services pursuant to

13-26 subsection 1.

13-27 5. An injured employee is not entitled to vocational

13-28 rehabilitation services solely because the position that he held at the

13-29 time of his injury is no longer available.

13-30 6. An injured employee or his dependents are not entitled to

13-31 accrue or be paid any money for vocational rehabilitation services

13-32 during the time the injured employee is incarcerated.

13-33 7. Any injured employee eligible for compensation other than

13-34 accident benefits may not be paid those benefits if he refuses

13-35 counseling, training or other vocational rehabilitation services

13-36 offered by the insurer. Except as otherwise provided in NRS

13-37 616B.028 and 616B.029, an injured employee shall be deemed to

13-38 have refused counseling, training and other vocational rehabilitation

13-39 services while he is incarcerated.

13-40 8. If an insurer cannot locate an injured employee for whom it

13-41 has ordered vocational rehabilitation services, the insurer may close

13-42 his claim 21 days after the insurer determines that the employee

13-43 cannot be located. The insurer shall make a reasonable effort to

13-44 locate the employee.

14-1 9. The reappearance of the injured employee after his claim has

14-2 been closed does not automatically reinstate his eligibility for

14-3 vocational rehabilitation benefits. If the employee wishes to

14-4 reestablish his eligibility for [such] those benefits, he must file a

14-5 written application with the insurer to reinstate his claim. The

14-6 insurer shall reinstate the employee’s claim if good cause is shown

14-7 for the employee’s absence.

14-8 Sec. 14. NRS 616D.120 is hereby amended to read as follows:

14-9 616D.120 1. Except as otherwise provided in this section, if

14-10 the Administrator determines that an insurer, organization for

14-11 managed care, health care provider, third-party administrator or

14-12 employer has:

14-13 (a) [Through fraud, coercion, duress or undue influence:

14-14 (1)] Induced a claimant to fail to report an accidental injury

14-15 or occupational disease;

14-16 [(2)] (b) Persuaded a claimant to [settle] :

14-17 (1) Settle for an amount which is less than reasonable;

14-18 [(3) Persuaded a claimant to settle]

14-19 (2) Settle for an amount which is less than reasonable while a

14-20 hearing or an appeal is pending; or

14-21 [(4) Persuaded a claimant to accept]

14-22 (3) Accept less than the compensation found to be due him

14-23 by a hearing officer, appeals officer, court of competent jurisdiction,

14-24 written settlement agreement, written stipulation or the Division

14-25 when carrying out its duties pursuant to chapters 616A to 617,

14-26 inclusive, of NRS;

14-27 [(b)] (c) Refused to pay or unreasonably delayed payment to a

14-28 claimant of compensation found to be due him by a hearing officer,

14-29 appeals officer, court of competent jurisdiction, written settlement

14-30 agreement, written stipulation or the Division when carrying out its

14-31 duties pursuant to chapters 616A to 616D, inclusive, or chapter 617

14-32 of NRS, [if] regardless of when the refusal or delay [occurs:]

14-33 occurred, including, without limitation:

14-34 (1) Later than 10 days after the date of the settlement

14-35 agreement or stipulation;

14-36 (2) Later than 30 days after the date of the decision of a

14-37 court, hearing officer, appeals officer or the Division, unless a stay

14-38 has been granted; or

14-39 (3) Later than 10 days after a stay of the decision of a court,

14-40 hearing officer, appeals officer or the Division has been lifted;

14-41 [(c)] (d) Refused to process a claim for compensation pursuant

14-42 to chapters 616A to 616D, inclusive, or chapter 617 of NRS;

14-43 [(d)] (e) Made it necessary for a claimant to initiate proceedings

14-44 pursuant to chapters 616A to 616D, inclusive, or chapter 617 of

14-45 NRS for compensation found to be due him by a hearing officer,

15-1 appeals officer, court of competent jurisdiction, written settlement

15-2 agreement, written stipulation or the Division when carrying out its

15-3 duties pursuant to chapters 616A to 616D, inclusive, or chapter 617

15-4 of NRS;

15-5 [(e)] (f) Failed to comply with the Division’s regulations

15-6 covering the payment of an assessment relating to the funding of

15-7 costs of administration of chapters 616A to 617, inclusive, of NRS;

15-8 [(f)] (g) Failed to provide or unreasonably delayed payment to

15-9 an injured employee or reimbursement to an insurer pursuant to

15-10 NRS 616C.165; [or

15-11 (g)] (h) Without justification, failed to:

15-12 (1) Provide payment to a claimant; or

15-13 (2) Authorize or provide medical treatment or testing for a

15-14 claimant; or

15-15 (i) Intentionally failed to comply with any provision of, or

15-16 regulation adopted pursuant to, this chapter or chapter 616A, 616B,

15-17 616C or 617 of NRS,

15-18 the Administrator shall impose an administrative fine of $1,000 for

15-19 each initial violation, or a fine of $10,000 for a second or

15-20 subsequent violation.

15-21 2. Except as otherwise provided in chapters 616A to 616D,

15-22 inclusive, or chapter 617 of NRS, if the Administrator determines

15-23 that an insurer, organization for managed care, health care provider,

15-24 third-party administrator or employer has failed to comply with any

15-25 provision of this chapter or chapter 616A, 616B, 616C or 617 of

15-26 NRS, or any regulation adopted pursuant thereto, the Administrator

15-27 may take any of the following actions:

15-28 (a) Issue a notice of correction for:

15-29 (1) A minor violation, as defined by regulations adopted by

15-30 the Division; or

15-31 (2) A violation involving the payment of compensation in an

15-32 amount which is greater than that required by any provision of this

15-33 chapter or chapter 616A, 616B, 616C or 617 of NRS, or any

15-34 regulation adopted pursuant thereto.

15-35 The notice of correction must set forth with particularity the

15-36 violation committed and the manner in which the violation may be

15-37 corrected. The provisions of this section do not authorize the

15-38 Administrator to modify or negate in any manner a determination or

15-39 any portion of a determination made by a hearing officer, appeals

15-40 officer or court of competent jurisdiction or a provision contained in

15-41 a written settlement agreement or written stipulation.

15-42 (b) Impose an administrative fine for:

15-43 (1) A second or subsequent violation for which a notice of

15-44 correction has been issued pursuant to paragraph (a); or

16-1 (2) Any other violation of this chapter or chapter 616A,

16-2 616B, 616C or 617 of NRS, or any regulation adopted pursuant

16-3 thereto, for which a notice of correction may not be issued pursuant

16-4 to paragraph (a).

16-5 The fine imposed [may] must not be greater than $250 for an initial

16-6 violation, or more than $1,000 for any second or subsequent

16-7 violation.

16-8 (c) Order a plan of corrective action to be submitted to the

16-9 Administrator within 30 days after the date of the order.

16-10 3. If the Administrator determines that a violation of any of the

16-11 provisions of paragraphs (a) to [(d),] (e), inclusive, of subsection 1

16-12 has occurred, the Administrator shall order the insurer, organization

16-13 for managed care, health care provider, third-party administrator or

16-14 employer to pay to the claimant a benefit penalty in an amount that

16-15 is not less than $5,000 and not greater than $25,000. To determine

16-16 the amount of the benefit penalty, the Administrator shall consider

16-17 the degree of physical harm suffered by the injured employee or his

16-18 dependents as a result of the violation of paragraph (a), (b), (c) , [or]

16-19 (d) or (e) of subsection 1, the amount of compensation found to be

16-20 due the claimant , and the number of fines and benefit penalties

16-21 previously imposed against the insurer, organization for managed

16-22 care, health care provider, third-party administrator or employer

16-23 pursuant to this section. If this is the third violation within 5 years

16-24 for which a benefit penalty has been imposed against the insurer,

16-25 organization for managed care, health care provider, third-party

16-26 administrator or employer, the Administrator shall also consider the

16-27 degree of economic harm suffered by the injured employee or his

16-28 dependents as a result of the violation of paragraph (a), (b), (c) , [or]

16-29 (d) or (e) of subsection 1. Except as otherwise provided in this

16-30 section, the benefit penalty is for the benefit of the claimant and

16-31 must be paid directly to him within 10 days after the date of the

16-32 Administrator’s determination. If the claimant is the injured

16-33 employee and he dies before the benefit penalty is paid to him, the

16-34 benefit penalty must be paid to his estate. Proof of the payment of

16-35 the benefit penalty must be submitted to the Administrator within 10

16-36 days after the date of his determination unless an appeal is filed

16-37 pursuant to NRS 616D.140. Any compensation to which the

16-38 claimant may otherwise be entitled pursuant to chapters 616A to

16-39 616D, inclusive, or chapter 617 of NRS must not be reduced by the

16-40 amount of any benefit penalty received pursuant to this subsection.

16-41 4. In addition to any fine or benefit penalty imposed pursuant

16-42 to this section, the Administrator may assess against an insurer who

16-43 violates any regulation concerning the reporting of claims

16-44 expenditures or premiums received that are used to calculate an

17-1 assessment, an administrative penalty of up to twice the amount of

17-2 any underpaid assessment.

17-3 5. If:

17-4 (a) The Administrator determines that a person has violated any

17-5 of the provisions of NRS 616D.200, 616D.220, 616D.240,

17-6 616D.300, 616D.310 or 616D.350 to 616D.440, inclusive; and

17-7 (b) The Fraud Control Unit for Industrial Insurance of the Office

17-8 of the Attorney General established pursuant to NRS 228.420

17-9 notifies the Administrator that the unit will not prosecute the person

17-10 for that violation,

17-11 the Administrator shall impose an administrative fine of not more

17-12 than $10,000.

17-13 6. Two or more fines of $1,000 or more imposed in 1 year for

17-14 acts enumerated in subsection 1 must be considered by the

17-15 Commissioner as evidence for the withdrawal of:

17-16 (a) A certificate to act as a self-insured employer.

17-17 (b) A certificate to act as an association of self-insured public or

17-18 private employers.

17-19 (c) A certificate of registration as a third-party administrator.

17-20 7. The Commissioner may, without complying with the

17-21 provisions of NRS 616B.327 or 616B.431, withdraw the

17-22 certification of a self-insured employer, association of self-insured

17-23 public or private employers or third-party administrator if, after a

17-24 hearing, it is shown that the self-insured employer, association of

17-25 self-insured public or private employers or third-party administrator

17-26 violated any provision of subsection 1.

17-27 Sec. 15. NRS 616D.130 is hereby amended to read as follows:

17-28 616D.130 1. Upon receipt of a complaint for a violation of

17-29 subsection 1 of NRS 616D.120, or if the Administrator has reason to

17-30 believe that such a violation has occurred, the Administrator shall

17-31 cause to be conducted an investigation of the alleged violation.

17-32 Except as otherwise provided in subsection 2, the Administrator

17-33 shall, within 30 days after initiating the investigation:

17-34 (a) Render a determination. The determination must include his

17-35 findings of fact and, if he determines that a violation has occurred,

17-36 one or more of the following:

17-37 (1) The amount of any fine required to be paid pursuant to

17-38 NRS 616D.120.

17-39 (2) The amount of any benefit penalty required to be paid to

17-40 a claimant pursuant to NRS 616D.120.

17-41 (3) A plan of corrective action to be taken by the insurer,

17-42 organization for managed care, health care provider, third-party

17-43 administrator or employer, including the manner and time within

17-44 which the violation must be corrected.

18-1 (4) A requirement that notice of the violation be given to the

18-2 appropriate agency that regulates the activities of the violator.

18-3 (b) Notify the Commissioner if he determines that a violation

18-4 was committed by a self-insured employer, association of self-

18-5 insured public or private employers or third-party administrator.

18-6 2. Upon receipt of a complaint for any violation of paragraph

18-7 (a) , (b) or [(c)] (d) of subsection 1 of NRS 616D.120, or if the

18-8 Administrator has reason to believe that such a violation has

18-9 occurred, the Administrator shall complete the investigation

18-10 required by subsection 1 within 120 days and, within 30 days after

18-11 the completion of the investigation, render a determination and

18-12 notify the Commissioner if he determines that a violation was

18-13 committed by a self-insured employer, association of self-insured

18-14 public or private employers or third-party administrator.

18-15 3. If, based upon the Administrator’s findings of fact, he

18-16 determines that a violation has not occurred, he shall issue a

18-17 determination to that effect.

18-18 Sec. 16. NRS 616D.140 is hereby amended to read as follows:

18-19 616D.140 1. If a person wishes to contest a decision of the

18-20 Administrator to impose or refuse to impose an administrative fine

18-21 or benefit penalty pursuant to this chapter or chapter 616A, 616B,

18-22 616C or 617 of NRS, he must file a notice of appeal with [the

18-23 Division within 10 days after receipt of the Administrator’s

18-24 decision, showing why] an appeals officer in accordance with this

18-25 section. The notice of appeal must set forth the reasons the

18-26 proposed fine or benefit penalty should or should not be imposed.

18-27 2. [If a notice of appeal is filed as required by subsection 1, the

18-28 Administrator shall, in accordance with the provisions of NRS

18-29 233B.121, issue a notice of hearing that must include a date for a

18-30 hearing on the matter, which must be no sooner than 30 days after

18-31 the notice of appeal is filed. The Administrator may grant a

18-32 continuance of the hearing upon a showing of good cause.] A

18-33 person who is aggrieved by:

18-34 (a) A written determination of the Administrator; or

18-35 (b) The failure of the Administrator to respond within 30 days

18-36 to a written request mailed to the Administrator by the person who

18-37 is aggrieved,

18-38 may appeal from the determination or failure to respond by filing

18-39 a request for a hearing before an appeals officer. The request

18-40 must be filed within 70 days after the date on which the notice of

18-41 the Administrator’s determination was mailed by the

18-42 Administrator or the unanswered written request was mailed to the

18-43 Administrator, as applicable. The failure of the Administrator to

18-44 respond to a written request for a determination within 30 days

19-1 after receipt of the request shall be deemed by the appeals officer

19-2 to be a denial of the request.

19-3 3. If a notice of appeal is not filed as required by this section,

19-4 the imposition of or refusal to impose the fine or benefit penalty

19-5 shall be deemed a final order and is not subject to review by any

19-6 court or agency.

19-7 4. [Except as otherwise provided in NRS 616A.467, a] A

19-8 hearing held pursuant to this section must be conducted by the

19-9 [Administrator or a person designated by him. A record of the

19-10 hearing must be kept but it need not be transcribed unless it is

19-11 requested by the person against whom the order or notice of

19-12 violation has been issued and that person pays the cost of

19-13 transcription. The Administrator] appeals officer as a hearing de

19-14 novo. The appeals officer shall render a written decision on the

19-15 appeal. Except as otherwise provided in this section, the provisions

19-16 of NRS 616C.345 to 616C.385, inclusive, apply to an appeal filed

19-17 pursuant to this section.

19-18 5. An administrative fine imposed pursuant to this chapter or

19-19 chapter 616A, 616B, 616C or 617 of NRS must be paid to the

19-20 Division. If the violation for which the fine is levied was committed

19-21 by a person while acting within the course and scope of his agency

19-22 or employment, the fine must be paid by his principal or employer.

19-23 The fine may be recovered in a civil action brought in the name of

19-24 the Division in a court of competent jurisdiction in the county in

19-25 which the violation occurred or in which the person against whom

19-26 the fine is levied has his principal place of business.

19-27 6. A benefit penalty imposed pursuant to NRS 616D.120 must

19-28 be paid to the claimant on whose behalf it is imposed. If such a

19-29 payment is not made within the period required by NRS 616D.120,

19-30 the benefit penalty may be recovered in a civil action brought by the

19-31 Administrator on behalf of the claimant in a court of competent

19-32 jurisdiction in the county in which the claimant resides, in which the

19-33 violation occurred or in which the person who is required to pay the

19-34 benefit penalty has his principal place of business.

19-35 7. Any party aggrieved by a decision [of the Administrator

19-36 rendered] issued pursuant to this section by an appeals officer may

19-37 appeal the decision directly to the district court.

19-38 Sec. 17. NRS 616D.280 is hereby amended to read as follows:

19-39 616D.280 1. If any workman is injured because of the

19-40 absence of any safeguard or protection required to be provided or

19-41 maintained by, or pursuant to, any statute, ordinance[,] or any

19-42 divisional regulation under any statute, the employer is liable to the

19-43 Division for a penalty of not less than $300 nor more than $2,000, to

19-44 be collected in a civil action at law by the Division.

20-1 2. The provisions of subsection 1 do not apply if the absence of

20-2 the safeguard or protection is due to the removal thereof by the

20-3 injured workman himself, or with his knowledge by any fellow

20-4 workman, unless the removal is by order or direction of the

20-5 employer or superintendent or foreman of the employer.

20-6 3. If the safeguard or protection is removed by the workman

20-7 himself, or with his consent is removed by any of his fellow

20-8 workmen, unless done by order or direction of the employer or

20-9 superintendent or foreman of the employer, the compensation of the

20-10 injured workman, as provided for by NRS 616C.405, 616C.425,

20-11 616C.435, 616C.440, 616C.445 and 616C.475 to 616C.505,

20-12 inclusive, must be reduced 25 percent.

20-13 4. If the employer or an agent of the employer removed the

20-14 safeguard or protection, or if the employer consented to its

20-15 removal, the compensation for the injured workman specified in

20-16 subsection 3 must be increased by 25 percent.

20-17 5. If, before the injury, the injured workman or his agent

20-18 submitted a request to the employer to install or replace the

20-19 safeguard or protection and the employer, after receiving

20-20 the request, failed to comply with the request, the compensation of

20-21 the injured workman specified in subsection 3 must be increased

20-22 by 25 percent.

20-23 Sec. 18. The amendatory provisions of subsection 3 of section

20-24 3 of this act do not apply to a payment received pursuant to a

20-25 contract entered into before October 1, 2003.

20-26 H