Gov. Quinn Appoints Seven to Workers' Compensation Commission

It has been a very busy week keeping up with the changes at the Illinois Workers' Compensation Commission (IWCC). 

On Monday, Governor Quinn's office announced seven appointments (two new Commissioners and five reappointments) to the Workers' Compensation Commission. Three additional Commissioners are currently serving four year terms that are set to expire on January 21, 2013.

Reappointed Commissioners:

• Mario Basurto
• Daniel R. Donohoo
• David L. Gore Jr
• Kevin W. Lamborn
• Nancy H. Lindsay

New Commissioners:

• Charles DeVriendt
• Michael Paul Latz

Currently Serving Commissioners:

• Yolaine Dauphin
• Thomas Tyrrell
• Mitchell Weisz (Chairman)

IWCC Posts Coverage Schedule for Former Arbitrators' Calls

Since Gov. Quinn appointed the new IL workers' compensation arbitrators on Friday, the IWCC needs to reassign the former arbitrators' current cases.  The IWCC website now has the coverage schedule for the calls of the former arbitrators. 

In its News section, the IWCC's website states

...Finally, please be aware that we are in the process of consolidating 24 arbitrator territories to 17, reassigning 85,000 cases among the newly appointed arbitrators, and switching our continuance schedule from two months to three months. It is an enormous undertaking, and we are doing this with a 30-year-old mainframe system. We are doing everything we can to make this a smooth transition, but please expect some bumps in the road. Check this website frequently for announcements regarding changes in calls or trials. We will appreciate your understanding and patience. If you have questions, please contact the Chairman's Office (312/814-6560).

IWCC Medical Fee Advisory Board Meeting Reminder

The IWCC Medical Fee Advisory Board's next meeting is Tuesday, October 18 at 2pm. The Board meeting will take place in room 9-034 at the Thompson Center.

The agenda includes both a status update on the new hospital and non-hospital region fee schedules and the preferred provider program (PPP) notification form.

At the September Medical Fee Advisory Board meeting, Mitch Weisz, the IWCC Chairman, stated that their goal was to have a finalized version of the PPP notification form available to the public by early October.

As of this morning (October 17), the IWCC website stated:

When an employee notifies the employer of an injury, an employer that has a PPP must notify the employee of this in writing. The Workers' Compensation Medical Fee Advisory Board is exchanging draft versions of the PPP notification letter. We will post it once it is completed.

We will provide any updates regarding the PPP notification form, and any other topics covered at the Board meeting, later this week.

NCCI Requests IL Rate Increase for Next Year

In addition to the announcement of the new Illinois workers' compensation arbitrator appointments, there is another update regarding the Illinois workers' compensation landscape.

Business Insurance posted an article that details NCCI Holding's request with the Illinois Department of Insurance for a 3.5% workers' compensation rate increase next year. 

Gov. Quinn Appoints New Arbitrators

Governor Quinn announced the new Illinois workers' compensation arbitrator appointments this afternoon.

One of the first changes resulting from HB 1698 was the termination of the Workers’ Compensation Commission arbitrators for the State of Illinois on July 1, 2011. The IWCC's Workers' Compensation Advisory Board was charged with advising Governor Quinn on arbitrator appointments and reappointments.

According to the press release, 10 former arbitrators were not reappointed by Governor Quinn. They include:

• John Dibble, Gilberto Galicia, James Giordano, Kathleen Hagan, Robert Lammie, Andrew Nalefski, Richard Peterson and Joseph Prieto.
• Charles DeVriendt will be appointed to the Commission instead.
• Jennifer Teague, a former arbitrator who resigned as of July 30, 2011.

New Illinois workers' compensation arbitrators are:

IL Preferred Provider Programs (PPPs) Approval Process Update

There seems to be a growing consensus that the Illinois Department of Insurance (IDOI) approval process for the new workers’ compensation preferred provider programs (PPPs) could continue through the rest of 2011. Employers would have the ability to designate an IDOI-approved PPP in early 2012. This article from Business Insurance supports our recent conversations with the IDOI regarding the PPP approval timeframe.

After receiving comments from interested parties on its draft rule, the IDOI is currently reviewing and evaluating the comments in order to create the administrative rules that will finalize the criteria required for IDOI PPP approval. The timeframe is also dependent on the Joint Committee on Administrative Rules’ (JCAR) schedule. JCAR provides an overview of the IL rulemaking process on its website.

For networks, like HFN, currently awaiting final review in the IDOI’s PPP process, the release of the draft rule, and eventually the finalized administrative rules, is the final step towards establishing compliance with the IDOI and gaining its approval for their PPPs.

IWCC's Fiscal Year 2010 Annual Report

The Illinois Workers' Compensation Commission (IWCC) released their Annual Report for Fiscal Year 2010.

While the report briefly mentions this year's reforms to the IL workers' comp system, it mostly summarizes the system pre-HB 1698. 

Beginning on page 21, the report provides an interstate comparison of workers' compensation metrics. Many of the metrics come directly from reports by various sources including the Workers’ Compensation Research Institute (WCRI), the National Council on Compensation Insurance (NCCI), and the 2010 Oregon Workers’ Compensation Premium Rate Ranking Report.

The Oregon study, when it was released in October of 2010, showed that Illinois' workers' compensation insurance premiums increased from 2004 to 2010.  That moved Illinois from the 23rd highest state in 2004 to the 3rd highest state in 2010 for insurance costs. 

The reform measures included in HB 1698 prompted NCCI to file for an 8.8% decrease in Illinois' voluntary advisory insurance rates effective 9/1/11.  It will be interesting to see where Illinois ranks when Oregon releases its next study, if that rate modification is included in the report.