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Subcommittee approves bill allowing Uninsured Employer's Fund to pay administrative costs
Summary
Chairwoman Ward's HB572 clarifies that Virginia's Uninsured Employer's Fund may pay administrative and legal expenses directly from the fund; the subcommittee reported the bill by a 6–1 vote, and sponsors said it does not raise taxes or change benefits.
Chairwoman Ward presented House Bill 572 to the subcommittee, saying the measure clarifies that administrative and legal costs for Virginia's Uninsured Employer's Fund may be paid from the fund itself. "This bill does not increase taxes, and it does not change benefit eligibility," Ward said, adding it will make it "easier for workers to access workers' compensation."
The patron described the fund's role in paying benefits when employers fail to carry required workers' compensation insurance and said the change simply updates how collected monies may be used, citing third‑party administrator fees and medical bills as examples. No fiscal impact to the state was asserted.
No witnesses offered opposition. The subcommittee moved the bill and, after a roll call, reported it 6–1. The committee record shows the measure will proceed through the regular committee process.
