HOUSE BILL No. 4656

 

April 21, 2005, Introduced by Reps. Hopgood, Lemmons, III, Plakas, Kathleen Law, Donigan, Bennett and Tobocman and referred to the Committee on Employment Relations, Training, and Safety.

 

     A bill to amend 1969 PA 317, entitled

 

"Worker's disability compensation act of 1969,"

 

by amending section 801 (MCL 418.801), as amended by 1994 PA 271.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 801. (1) Compensation shall be paid promptly and directly

 

to the person entitled  thereto  and shall become due and payable

 

on the fourteenth day after the employer has notice or knowledge of

 

the disability or death, on which date all compensation then

 

accrued shall be paid. Thereafter compensation shall be paid in

 

weekly installments. Compensation or a lump sum required to be paid

 

under a settlement or redemption agreement is due and owing on the

 

date of the settlement or redemption agreement and is payable in

 

accordance with the terms of the settlement or redemption

 


agreement. Every carrier shall keep a record of all payments made

 

under this act and of the time and manner of making the payments

 

and shall furnish reports, based upon these records, to the bureau

 

as the director may reasonably require.

 

     (2) If weekly compensation benefits,  or  accrued weekly

 

benefits,  are  benefits under a settlement, or a lump sum under a

 

redemption agreement is not paid within 30 days after becoming due

 

and payable, in cases where there is not an ongoing dispute, $50.00

 

per day shall be added and paid to the worker for each day over 30

 

days in which the benefits are not paid.  Not  However, for a delay

 

in paying weekly compensation benefits or accrued weekly benefits,

 

not more than $1,500.00 in total may be added  pursuant to  under

 

this subsection.

 

     (3) If medical bills or travel allowance are not paid within

 

30 days after the carrier has received notice of nonpayment by

 

certified mail, in cases where there is no ongoing dispute, $50.00

 

or the amount of the bill due, whichever is less, shall be added

 

and paid to the worker for each day over 30 days in which the

 

medical bills or travel allowance are not paid. Not more than

 

$1,500.00 in total may be added  pursuant to  under this

 

subsection.

 

     (4) For purposes of rate-making, daily charges paid under

 

subsection (2)  shall  do not constitute elements of loss.

 

     (5) An employer who has notice or knowledge of the disability

 

or death and fails to give notice to the carrier shall pay the

 

penalty provided  for in  under subsection (2) for the period

 

during which the employer failed to notify the carrier.

 


     (6) When weekly compensation is paid  pursuant to  under an

 

award of a worker's compensation magistrate, an arbitrator, the

 

board, the appellate commission, or a court, interest on the

 

compensation shall be paid at the rate of 10% per annum from the

 

date each payment was due, until paid.