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House amends and approves Workers Compensation Fund changes to broaden market access

Utah House of Representatives · February 11, 2015
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Summary

First substitute Senate Bill 63, amending the Workers Compensation Fund structure and board composition to allow market expansion, passed the House after a technical amendment and assurances it remains insurer of last resort.

The House passed first substitute Senate Bill 63, which makes structural changes to the Workers Compensation Fund (WCF), after adopting a technical amendment on Feb. 11, 2015. Representative Dunigan presented the bill, saying it allows the WCF to expand its market while retaining its role as insurer of last resort.

Representative Dunigan explained that WCF may give up its federal tax exemption in order to expand multistate business, alter board composition (removing governor appointees after consultation) and add firewalls to limit conflicts (for example, preventing it from serving as a third‑party administrator for health insurance). Representative Wilson moved Amendment No.1 to correct minor wording ("office" to "officer"); the amendment passed.

Representative Dawe asked whether WCF’s status as insurer of last resort would continue; Dunigan confirmed it would. After discussion and adoption of the amendment, the House passed the bill as amended (vote recorded 72–0). The sponsor said the change aims to grow WCF’s revenue and maintain low premiums for Utah employers.