Rule Updates

Rules Under Development

Industrial insurance

Chapter 296-14, WAC

All updates for this rule:

Pension Discount Rate 2017 (Chapter 296-14 WAC Industrial Insurance)

The pension discount rate is the interest rate used to account for the time value of money when evaluating the present value of future pension payments. Currently, WAC 296-14-8810 sets the pension discount rate at 6.3 percent. The department has worked with the Workers’ Compensation Advisory Committee (WCAC) to develop a plan for reducing the pension discount rate annually, through 2022, until it reaches 4.5 percent. The purpose of this rulemaking is to consider whether to reduce the current pension discount rate for 2017 in furtherance of that long term goal.782.

11/1/2016

PDF: Preproposal (CR-101)

Update Pension Discount Rate (Chapter 296-14 WAC)

This rule filing will amend WAC 296-14-8810 to reduce the current pension discount rate from 6.4 percent to 6.3 percent in 2016. The pension discount rate is the interest rate used to account for the time value of money when evaluating the present value of future pension payments. The department has worked with the Workers’ Compensation Advisory Committee (WCAC) to develop a plan reducing the pension discount rate annually, through 2022, until it reaches 4.5 percent. The changes were adopted 2/16/2016 and became effective on 4/1/2016.741.

4/1/2016

Rule Changes Effective

2/16/2016

PDF: Adoption (Rule-Making Order CR-103)

PDF: Adopted Rule Language

1/27/2016

Comments Due

1/26/2016

Public Hearing

12/22/2015

PDF: Proposed Rulemaking (CR 102)

PDF: Proposed Rule Language

11/3/2015

PDF: Preproposal (CR-101)

Reduce Pension Discount Rate and Update Mortality Tables (Chapter 296-14 WAC)

The current mortality tables used to determine the funding needs for injured workers who are totally permanently disabled and for survivors of fatally injured workers are over 30 years old. The department conducted a study of pensioned injured workers and their spouses in our system from 2001 to 2012 together with 2000 US Census data. The study revealed that the pension tables no longer reflect the current experience of pension beneficiaries funded by the pension reserve fund. These tables need to be updated for life expectancy and gender. The pension discount rate is the interest rate used to account for the time value of money when evaluating the present value of future pension payments. The current Pension Discount Rate of 6.5 percent is too high given market rates of long-term Treasury bonds, which are considered by the actuaries for establishing discount rates. The department has worked with the Workers’ Compensation Advisory Committee (WCAC) to develop a plan that would reduce the pension discount rate from the current 6.5 percent to 6.4 percent and continue to adjust annually, through 2022, until it reaches 4.5 percent.718.

1/6/2015

PDF: Adoption (Rule-Making Order CR-103)

PDF: Adopted Rule Language

12/23/2014

Public Hearing

11/18/2014

PDF: Proposed Rulemaking (CR 102)

PDF: Proposed Rule Language

9/16/2014

PDF: Preproposal (CR-101)

Diagnostic and Statistical Manual of Mental Disorders (DSM-5) (Chapters 296-14, 296-20, 296-21 WAC)

In 2013, The American Psychiatric Association released the fifth edition of the Diagnostic and Statistical Manual of Mental Disorders (DSM-5). L&I is adopting rules in order to aid in the implementation and consistent use of new DSM versions within Washington’s workers’ compensation program. The changes were adopted 9/22/2015 and became effective on 10/23/2015.715.

10/23/2015

Rule Changes Effective

9/22/2015

PDF: Adoption (Rule-Making Order CR-103)

PDF: Adopted Rule Language

7/13/2015

Public Hearing

7/13/2015

Comments Due

6/2/2015

PDF: Proposed Rulemaking (CR 102)

PDF: Proposed Rule Language

8/5/2014

PDF: Preproposal (CR-101)

Loss of Earning Power (Chapters 296-14, 296-20 WAC)

The proposed rule is needed to clarify the department's rules and policies around payment of “temporary partial disability,” also known as loss of earning power or LEP. The department's rules currently provide payment of LEP to “medical fixity,” which occurs when no fundamental or marked change in an accepted condition can be expected, with or without treatment. However, the Board of Industrial Insurance Appeals has consistently held in significant decisions that LEP is to be paid until “legal fixity”, or claim closure.674.

1/2/2013

PDF: Preproposal (CR-101)

Pay During Appeal (Chapters 296-14, 296-15, 296-20 WAC)

The rulemaking effort is in response to Chapter 280, Laws of 2008 (E2SHB 3139). These rules will be reviewed for changes to ensure consistency with the new law as well as make any other changes that may be needed for clarification purposes.530.

8/20/2008

PDF: Preproposal (CR-101)

Banked Hours (Chapter 296-14 WAC)

The proposed rulemaking will assist in the implementation of Chapter 297, Laws of 2007 (SHB 1244). The proposed rulemaking will amend existing rules that conflict with the law and may include new rules that clarify when the employer’s contribution for health care benefits is included in the worker’s monthly wage.510.

4/22/2008

PDF: Preproposal (CR-101)

Claim Suppression (Chapter 296-14 WAC)

The proposed rules will assist in the implementation of Chapter 77, Laws of 2007 (SSB 5443). The proposed rulemaking will: Define bona fide workplace safety and accident prevention program and first aid, and establish the penalty structure for employers when there is a finding of claim suppression. Consideration will be given to when and how employers may be required to notify workers of a finding of claim suppression. In addition, the rulemaking may address additional issues identified in the rule development process.449.

6/5/2007

PDF: Preproposal (CR-101)

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