Electronic Benefit Rules Now in Effect

The Division of Workers’ Compensation has issued a memo reminding system stakeholders that on June 1, 2015, the amendments to Rule 124.5 and the provisions of new Rule 124.6 took effect. The rules concern the mode of payment made by insurance carriers, and a carrier’s electronic transfer payments made through an access card.

The purpose of the adopted rules is to address issues that arise out of the increasing use of new payment method technologies, particularly access cards. New §124.6 ensures that claimants who choose to receive income benefits through an access card are not charged excessive fees to access their benefits and have access to plain language notices regarding any allowed fees so that they may make an informed decision about the use of these cards.

The rule adoption order is available to system stakeholders online for a limited period of time. The Division has also set up an access card FAQ page on its website.