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2023 Legislative Update

Colorado Division of Workers’ Compensation’s 2023 Legislative Update

Announcements & Reminders

Surcharge Rates | July 1, 2023 - June 30, 2024

2023 Workers' Compensation Act (WC Act)

Statutory and Rule Changes

Statutory Changes

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

  Bill HB23-1076 - Workers’ Compensation Compromise Bill

  • Signed: June 5, 2023 
  • Effective: August 7, 2023
  • Key Changes:
    • The duration for receiving compensation that is only for mental impairment, has been extended from 12 weeks to 36 weeks. 
    • Reasonably necessary replacement prosthetic devices must be provided. 
    • Parties may request an expedited hearing on TTD termination due to being placed at full duty by any of their treating providers. 
    • Post-MMI medical benefits may not be limited to any specific treatment. 
    • DIME packet medical records may only include relevant documents.
    • DOWC Director shall determine the amount and allocation of the DIME cost.
    • A prehearing ALJ may make DIME indigency determinations.  
    • Prehearing ALJs can resolve issues about the DIME packet and its expenses before the hearing.
    • The claimant's attorney contingent fee of 25% will be presumed reasonable.

  Bill HB23-1196 - Remedies at Law for Violating Colorado Youth Act

  • Signed: June 7, 2023
  • Effective: July 1, 2023
  • Key Changes:
    • If a minor was injured while engaging in work that is prohibited by Article 12, they have the right to seek economic damages through a tort claim.

Rule Changes

  Rule 3 - Insurance Coverage    

  • The Colorado Division of Workers’ Compensation adopted rule language, effective August 10, 2022, that updated the injury notice poster. 
  • Key Changes:

  Rule 5 - Claims Adjusting Requirements   

  • The Colorado Division of Workers’ Compensation adopted rule language, effective March 30, 2023, that updated claim reporting, payment of PPD, and fatal lump sum processes. 
  • Key Changes:
    • Medical-only claims with 180 days of treatment must be reported to the Division. 
    • PPD must be paid at the scheduled amount if higher than the nonscheduled (whole person) amount. 
    • The Director shall determine the maximum allowed per dependent for fatal lump sums if not previously determined by an ALJ.

  Rule 11 - Division Independent Medical Examination

  • The Colorado Division of Workers’ Compensation adopted rule language, effective March 2, 2023, that updated DIME provider fees, indexing, panel replacement, and added indigent standards. 
    Key Changes:
    • Additional fees are available for the number of pages in the medical packet.
    • The new medical record index process involving bates stamping.
    • There is a new physician panel replacement process.
    • Indigent standards are now listed in Rule 11. 

  Rule 16 - Utilization Standards

  • The Colorado Division of Workers’ Compensation adopted rule language, effective January 1, 2023, that updated provider reporting and insurance administration compliance. 
  • Key Changes: 

  Rule 18 - Medical Fee Schedule

  • The Colorado Division of Workers’ Compensation adopted rule language, effective January 1, 2023, that updated payment policies. 
  • Key Changes: 
    • New comprehensive payment policies for status indicators.
    • Reimbursement reductions for services performed by massage therapists and therapy assistants.
    • New Exhibit #4 allows and prices certain surgeries designated as inpatient only to be performed in an outpatient setting.
    • Limits on high-cost prescription drugs when a lesser-cost therapeutic equivalent is available.
    • Addition of reimbursement rates for Spanish interpreters.
    • Inflationary increases across most services.

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