Provides for the enrollment of a surviving spouse, a surviving domestic partner, a dependent child or children, or any other person entitled to a death benefit in direct deposit for compensation payments.
Summary
This bill amends the New York Workers' Compensation Law to require carriers or self-insured employers to notify eligible recipients that compensation and death benefit payments may be received by direct deposit, and to provide the means to enroll in direct deposit at the same time the notice is given. The bill specifically extends the direct-deposit framework to persons receiving death benefits, including a surviving spouse, surviving domestic partner, dependent children, and any other person entitled to a death benefit under the workers' compensation statute.
The bill also authorizes the Workers' Compensation Board to adopt rules governing direct deposit, including allowing payments to be split among multiple accounts by dollar amount or percentage, subject to board-set limits. In addition, it creates a penalty if an employer or insurance carrier fails to enroll an eligible person within 25 days after a request: a 20% penalty of compensation due per pay period, accruing for the benefit of the recipient, plus a $300 additional penalty, unless the board excuses the delay because circumstances beyond the employer's or insurer's control prevented enrollment.
Impact
The bill would amend section 25 of the Workers' Compensation Law by expanding and clarifying direct-deposit rights for compensation and death-benefit recipients, and by adding an enforcement mechanism for delayed enrollment. It affects injured workers and death-benefit beneficiaries, as well as employers, self-insured employers, and workers' compensation insurance carriers, while giving the Workers' Compensation Board new regulatory authority over enrollment procedures and split-deposit arrangements.
Sentiment
The bill appears generally supportive of benefit access and administrative convenience, with its purpose focused on making compensation payments easier and more reliable for injured workers and surviving beneficiaries. No committee transcripts or recorded votes are available in the provided materials, so there is no documented opposition or formal legislative debate to indicate broader sentiment beyond the bill's consumer-protection and payment-access orientation.
Contention
The main potential point of contention is the new penalty structure for failure to enroll an eligible person in direct deposit within 25 days, which could be viewed by employers and insurers as strict or burdensome. Another possible issue is the administrative complexity of implementing direct deposit for death-benefit recipients and managing split deposits across multiple accounts, though the bill allows the Workers' Compensation Board to set rules and excuse delays caused by circumstances outside the employer's or insurer's control.
Same As
Provides for the enrollment of a surviving spouse, a surviving domestic partner, a dependent child or children, or any other person entitled to a death benefit in direct deposit for compensation payments.
Provides for the enrollment of a surviving spouse, a surviving domestic partner, a dependent child or children, or any other person entitled to a death benefit in direct deposit for compensation payments.
Increases accidental death benefit for surviving spouse or surviving children of certain PERS members and retirants; provides accidental death benefit to beneficiary of certain PERS and PFRS members and retirants; redefines child.
Increases accidental death benefit for surviving spouse or surviving children of certain PERS members and retirants; provides accidental death benefit to beneficiary of certain PERS and PFRS members and retirants; redefines child.
Permits companion to receive PFRS accidental death pension when there is no surviving spouse; requires adjustment of final compensation for calculation of accidental death benefit for surviving spouse, companion, and children of PFRS members.
Permits companion to receive PFRS accidental death pension when there is no surviving spouse; requires adjustment of final compensation for calculation of accidental death benefit for surviving spouse, companion, and children of PFRS members.
Directs certain employers to establish a dependent care flexible benefits program under which a portion of employees' compensations are deposited directly into dependent care flexible spending accounts.