|Date Requested:February 14, 2013
Time Requested:03:28 PM
| FUND(S) |
Sources of Revenue
Legislation creates:Neither Program nor Fund
Effect this measure will have on costs and revenues of state government.
| The OIC requested an estimate of the impact of HB 2466 from the National Council on Compensation Insurance (NCCI)in order to support this fiscal note.
NCCI estimates that HB 2466, if enacted, may result in an increase in West Virginia's overall workers compensation costs. NCCI is unable to estimate the magnitude of the impact resulting from this provision due to the lack of readily available data. However, NCCI does offer some impact comments that are included in the memorandum section of this fiscal note.
The OIC estimates that HB 2466 would have a fiscal impact on the workers compensation related Funds administered by the Offices of the Insurance Commissioner (OIC)by increasing the medical costs of the Funds. These Funds include the Old Fund, the Uninsured Fund, the State Agencies Workers Compensation Program fund, the Self-insured Guaranty Fund and the Self-insured Security Fund. Like NCCI, the OIC's consulting actuarial firm is unable to estimate the magnitude of the impact resulting from HB 2466 due to the lack of readily available data.
|Effect of Proposal||Fiscal Year|
|1. Estmated Total Cost||0||0||0|
|Repairs and Alterations||0||0||0|
|2. Estimated Total Revenues||0||0||0|
3. Explanation of above estimates (including long-range effect):
| The Offices of the Insurance Commissioner (OIC), requested an estimate of the impact of HB 2466 from the National Council on Compensation Insurance (NCCI). While NCCI is unable to estimate the magnitude of the impact, they do contend that HB 2466 may result in an overall increase in workers compensation costs.
NCCI also offers these observations: The version of the bill reviewed by NCCI contains no effective date and thus could have a retroactive impact. Such a retroactive application could result in an unfunded liability, as the additional medical benefits provided would not have been contemplated in the premiums charged for policies already written. HB 2466, if enacted, may result in an increase in total WC system costs as a result of additional benefits paid for medical treatment and prescription drugs.