Committee advances workers’ compensation bill to prevent bid disqualification based solely on experience modifier

The Senate Insurance Committee approved an amended House Bill 1214 that prohibits contract solicitations from excluding a bidder solely because the bidder’s workers’ compensation experience modification (mod) exceeds a specified level.

Representative Layman, speaking for the bill, described a scenario in which a trucking employer was effectively barred from bidding because the company’s experience modification rose after a non‑fault third‑party accident. He said the proposed change would prevent bid specifications from using an employer’s mod as a precondition to submit a bid, although an entity awarding the contract would still be able to weigh experience in deciding whom to award.

Layman said the amendment removes a separate regulatory change originally in the bill — the amendment leaves that item for the Indiana Compensation Rating Bureau and the Department of Insurance to resolve administratively. The remaining statutory change focuses solely on bidding rules: an employer may not be prohibited from submitting a bid solely on the basis of their experience rating, though an awarding authority may use the mod as one factor in selection.

Committee members asked clarifying questions about how mods are calculated and whether the protection would apply across industries; the sponsor said the change is most common in construction, trucking and other labor‑intensive sectors.

No outside witnesses registered opposition; the committee voted to report the amended bill to the floor by roll call.