Compliance, Records and Training penalty review
As previously communicated (see below), an insurer's inability to timely file a workers' compensation report with the Department of Labor and Industry (DLI) because of a technical issue related to Work Comp Campus will continue to be a lower priority for review by DLI Compliance, Records and Training (CRT). This particular aspect of penalties will continue to be a lower priority at this time and DLI will communicate when it begins assessing penalties for late filing of forms that have not been requested by CRT. However, DLI reiterates that statutory obligations to make timely determinations of liability, commencement of benefit payments and filings have not changed.
CRT will be reviewing claims for both timeliness of liability determinations and timeliness of initial payments and assessing penalties as appropriate. CRT has also continued to track and will be reviewing the response to written inquiries from DLI. A failure to respond or supply information requested by CRT is prohibited conduct under Minnesota Statutes § 176.194, subdivision. 3 (6), or can be considered a failure to file a requested or required form under Minn. Stat. § 176.231, subd. 3, 4, 6, 7 and 10.
DLI's review will focus mainly on claims filed beginning Nov. 2, 2020, but may also include claims filed before that date.
If a penalty is issued, a notice will be sent via encrypted email or via U.S. mail. If a recipient for penalties has not been designated in Campus, the group administrator will be served.
For payment
The payor can mail a check to DLI and reference the penalty number (PN) from Campus to satisfy the penalty. As an alternative, the payor may pay the penalty online referencing the same PN by going to the payment center on the DLI website.
For objections
Objections must be filed via Campus (if the party has a Campus account) or paper (if the party does not have a Campus account) and must be received by DLI no later than 30 days after the penalty notice was served. Objections received late, will be returned and the penalty is payable.
Jan. 15, 2021
- When do we need to file a final report (FN) form on a claim?
An FN is required within 180 days after an insurer has ceased payment of all indemnity and rehabilitation benefits (where no litigation is pending) and upon request from the Department of Labor and Industry. In cases where no indemnity or rehabilitation has been paid but the claim was filed with the department, an FN is not required, but will be accepted.
- What is DLI's current position on assessing penalties?
Regarding penalties, issuing a penalty for an insurer's failure to timely file a report with DLI due to a technical issue related to Work Comp Campus will continue to not be a high priority, as long as the insurer is working in good faith with DLI and its trading partner to resolve the technical issue. DLI will re-evaluate this as known issues are resolved and will communicate any changes at that time.
March 12, 2021
- What is DLI's current position on assessing penalties?
Penalties will continue to not be a high priority for an insurer's failure to timely file a report with the Department of Labor and Industry (DLI) due to a technical issue related to Work Comp Campus, as long as the insurer is working in good faith with DLI and its trading partner to resolve the technical issue. DLI will re-evaluate this as known issues are resolved and will communicate any changes.
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