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2021 Legislative Update

Colorado Division of Workers’ Compensation’s 2021 Legislative Update

Announcements & Reminders

  Stay Tuned for Upcoming Rule Changes

  Surcharge Rates

  Worker's Claim for Compensation (WC 15)

  2021 Workers’ Compensation Act

Image of a person writing down notes with legal books scales of justice next to them on the table with text overlayed that says Statutory and Legislative Changes

Statutory Changes

This year the General Assembly adopted two bills that impact workers’ compensation in Colorado. This summary briefly highlights some of the key substantive and procedural changes.

  Bill HB21-1207 - Overpayment of Workers’ Compensation Benefits

  • Signed: May 17, 2021
  • Effective: January 1, 2022
  • Key Changes:
    • Limits the definition of overpayments to those which occur because of fraud, duplication of benefits (i.e., offsets or wages), or errors on an admission.  
    • Temporary benefits paid after the date of MMI are no longer considered overpayments; however, they can be credited against permanency. 

  Bill HB21-1050 - Workers' Compensation Act of Colorado

  • Signed: July 6, 2021
  • Effective: September 7, 2021
  • Key Changes:
    • Reduces the maximum benefit cap from 25% to 19%.
    • Benefits are considered timely paid as of the date of receipt, or three days after mailing if postmarked at least three business days prior to the due date.
    • A benefit or penalty must be at issue before compensability is considered ripe for litigation.
    • Mileage must be submitted 120 after incurred, paid within 30 days.
    • Read the full bill language for other important updates including offsets, apportionment, appeals, and more.


Rule Changes

 Rule 4 - Carrier Compliance    

  • The Colorado Division of Workers’ Compensation adopted rule language, effective April 30, 2021, introducing a new audit for carriers and changing the current fine structure.   
  • Key Changes: 
    • Changes to the claim audit fine structure and allows for resetting of claim audit fines after a successful audit.
    • A new Policy Compliance Audit.

 Rule 6 - Modification, Termination, or Suspension of Temporary Disability Benefits    

  • The Colorado Division of Workers’ Compensation adopted rule language, effective July 1, 2021, that allows for retroactive modification of benefits.  
  • Key Changes: 

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  Rule 5 - Claims Adjusting Requirements

  • The Colorado Division of Workers’ Compensation adopted rule language, effective July 1, 2021, that changes the claims adjusting requirements.  
  • Key Changes: 
    • Allows for electronic filing of admissions and motions.
    • Changes the reporting requirements for fatalities and when more than three people are injured in the same accident.
    • Changes to Final Admissions required attachments. The Physician’s Report of a Workers’ Compensation Injury (WC 164) is no longer required unless concurrently provided.

  Rule 7 - Closure of Claims and Petitions to Reopen    

  • The Colorado Division of Workers’ Compensation adopted rule language, effective July 1, 2021, that removes a step in the reopening process.
  • Key Changes: 

 

Updated Forms


Updated Publications


Previous Legislative Updates