The Illinois Senate has approved restrictions on insurance companies writing workers’ compensation policies. The plan that passed 34-21 on April 17 is identical to one Gov. Bruce Rauner vetoed last year.
The Republican has complained for years that workers’ compensation costs prevent economic growth. Democrats point out they restricted payouts and rules on worker injuries in 2011 but insurance companies haven’t lowered premiums accordingly.
Chicago Democratic Sen. Kwame Raoul’s bill requires insurers writing workers’ comp policies to file intended rates with the state and justify requested changes.
Benefits would depend on a causal connection between work and injury and tighter guidelines would determine a worker’s disability.
Rauner spokeswoman Rachel Bold says Raoul’s bill is not “real” reform. But she says Rauner hopes for a bipartisan fix to the system’s flaws.
This article was first published by Insurance Journal.