FISCAL NOTE
FUND(S):
7162, 7163, 7164, 7165
Sources of Revenue:
Special Fund
Legislation creates:
Neither Program nor Fund
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
HB 2445 would impact the future costs of the worker's compensation related funds administered by the Offices of the Insurance Commissioner. The Funds impacted include the Old Fund, the Uninsured Employer's Fund (UEF), the Self-insured Guaranty Risk Pool and the Self-insured Security Risk Pool.
HB 2445 would also impact the worker's compensation insurance premium rates paid by employers.
In order to provide an accurate estimate of the impact on the OIC's Funds, it is necessary to obtain estimates from the OIC's consulting actuarial firm.
In order to provide an accurate estimate of the impact on the insurance rates paid by WV employer's, it is necessary to obtain estimates from the National Council on Compensation Insurance (NCCI).
The OIC will re-file this fiscal note when those estimates are obtained.
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2013
Increase/Decrease
(use"-") |
2014
Increase/Decrease
(use"-") |
Fiscal Year
(Upon Full
Implementation) |
| 1. Estmated Total Cost |
0 |
0 |
0 |
| Personal Services |
0 |
0 |
0 |
| Current Expenses |
0 |
0 |
0 |
| Repairs and Alterations |
0 |
0 |
0 |
| Assets |
0 |
0 |
0 |
| Other |
0 |
0 |
0 |
| 2. Estimated Total Revenues |
0 |
0 |
0 |
Explanation of above estimates (including long-range effect):
Memorandum
If enacted, HB 2445 would increase the payments to worker's compensation permanent total disability (PTD) beneficiaries by adding a cost of living allowance based on the Consumer price Index (CPI).
These increased benefit payments will increase the liabilities of the Old Fund, the Uninsured Fund, the Self Insured Guaranty Risk Pool and the Security Risk Pool.
The increased benefit payments may also impact employer rates paid for worker's compensation insurance.
Estimates on the increased costs of adding the cost of living adjustment as outlined in HB 2445 for worker's compensation permanent total disability beneficiaries must be obtained from the National Council on Compensation Insurance (NCCI) and from the OIC's consulting actuarial firm.
The OIC will re-submit this fiscal note when those estimates are available.
Person submitting Fiscal Note: Melinda Kiss
Email Address: Melinda.Kiss@wvinsurance.gov