LEGISLATIVE ACTIONS:

• Senate Bill 1090 Waives the examination requirement for adjuster license applicants who hold a claims certificate that meets outlined criteria. Adjuster is defined to include any person who adjusts, investigates, or negotiates settlement of claims concerning property and casualty contracts on behalf of either the insured or the insurer, for compensation, fee, or commission (A.R.S. § 20-321). To be licensed as an Adjuster, a person must take and pass an examination that is given by or under the supervision of the Director of the Department of Insurance (DOI) and that reasonably tests the applicant's knowledge of insurance and legal responsibilities (A.R.S. § 20-321.01). Excludes from the definition of an adjuster an employee of a third-party administrator or self-insured employer who adjusts, investigates, or negotiates settlement of only workers' compensations claims. Removes the requirement for an adjuster license applicant to take and pass a DOI examination if the applicant holds a national or state-based claims certificate that consists of at least 40 hours of pre-examination course work, a proctored examination of sufficient length to adequately determine the competency of the applicant and at least 24 hours of continuing education required for certification renewals on a biennial basis. Makes technical and conforming changes.  Effective Date August 25, 2020.

REGULATORY ACTIVITY:

• The Industrial Commission of Arizona understands that some workers' compensation insurance carriers and self-insured employers may have limited experience adjusting workers' compensation claims involving contagious diseases, such as COVID-19.  Please be advised that COVID-19 workers' compensation claims cannot be categorically denied, and Arizona law requires all denials to be well-grounded in fact and warranted by existing law.  In an effort to prevent unnecessary litigation, the Commission recommends that carriers and self-insured employers evaluate COVID-19 claims in conjunction with Arizona law, considering factors including but not limited to:
  • The nature of the employment and the risk of contracting COVID-19;
  • Whether an identifiable exposure occurred at work;
  • Whether any identifiable exposure occurred outside of work;
  • The timing between an identifiable exposure and the development of COVID-19 symptoms; and
  • The reliability of medical or other evidence that the work-related exposure caused the disease.

To view this announcement, go to https://www.azica.gov/news-and-events/public-notices.

• On May 12, 2020, Governor Doug Ducey issued the "Stay Healthy, Return Smarter, Return Stronger" Executive Order. While the Executive Order promotes the gradual and safe reopening of Arizona, it continues to recommend physical distancing and compliance with federal and state health guidelines. Beginning Wednesday, May 27, 2020, the ICA buildings in Phoenix (800 W. Washington St.) and Tucson (2675 E. Broadway Blvd.) will resume in-person visits. In order to mitigate the risks associated with COVID-19, the ICA has implemented and continues to observe enhanced sanitation and physical distancing practices. Although ICA buildings will be reopened to the public, the ICA strongly encourages stakeholders and members of the public to avoid unnecessary visits to ICA buildings, particularly the elderly and individuals with underlying health conditions. The ICA recommends that stakeholders and members of the public continue to do business with the ICA remotely to the greatest extent possible, which includes using online resources such as ICA Community, including the "upload" feature, online forms, and the Online Payment Portal. The ICA website contains a library of online forms, which can be filled out and submitted to the ICA electronically.  Workers' compensation forms for injured workers, employers, and insurance carriers can be quickly and easily completed and submitted to the ICA in the ICA's new Claims/ALJ portal. In addition to fillable forms, the ICA Community allows interested parties to obtain complete access to Claims and ALJ records and electronically submit documents to the ICA. Payments to the ICA can be completed quickly and securely online by visiting the ICA Payment Portal. ICA Online FAQs and Support Resources - The ICA website (azica.gov) has been redesigned to make it faster and easier for stakeholders and customers to find needed information and get answers to their questions. For more information about Arizona's response to the spread of COVID-19, please visit the Arizona Department of Health Services here.
• On June 25, 2020, the Industrial Commission of Arizona will hold its Annual Fee Schedule Public Hearing pertaining to the annual review of the Physicians’ and Pharmaceutical Fee Schedule. See A.R.S. § 23-908(B). The public hearing will be conducted at 1:00 p.m. as part of the Commission’s regularly scheduled meeting that day.  The Commission Meeting and Public Hearing will be conducted telephonically.  Stakeholders and members of the public may join the meeting by calling 1-475-441-8746 and entering access code 956 944 817#.  A stakeholder or member of the public wishing to make a comment during the hearing is asked to send their name and the organization they represent, if applicable, to Kara Dimas by e-mail (Kara.Dimas@azica.gov) in advance of the meeting.

LEGISLATIVE ACTIONS:

• Senate Bill 1331 The enacted legislation extends the 10 percent deviation rate for calculating taxes or assessments paid by self-insured employers through calendar year 2022.  Effective Date August 26, 2020.

REGULATORY ACTIVITY:

• The Governor issued Executive Order 2020-29 regarding increased telemedicine access for workers' compensation.  To view the executive order, go to https://www.azica.gov/news-and-events/public-notices.
• The Department of Insurance issued Regulatory Bulletin 2020-03 regarding compliance with regulatory requirements during the public health emergency. To view the bulletin, go to  https://insurance.az.gov/regulatory-bulletins.
• To assist in mitigating the spread of COVID-19, ICA buildings in Phoenix (800 W. Washington St.)  and Tucson (2675 E. Broadway Blvd.) were closed to in-person visitors. Although it appears that mitigation strategies are working, the Arizona Department of Health Services is urging everyone to remain vigilant and continue to follow Federal and State guidelines.  Because there is no greater priority than the health and safety of injured workers, ICA employees, customers, and Arizona senior citizens, the ICA is extending the temporary closure of the ICA buildings in Phoenix and Tucson to in-person visitors and will remain closed until further notice.  The ICA is working closely with Arizona health officials and will resume in-person visits as soon as circumstances warrant.    To view this notice, go to https://www.azica.gov/.

FEE SCHEDULE NEWS:

• The Industrial Commission of Arizona has adopted changes to the Fee Schedule with an effective date of March 26, 2020, for telemedicine services and testing for COVID-19.

REGULATORY ACTIVITY:

• The Industrial Commission of Arizona, in response to the COVID-19 public health emergency and to safeguard the health and welfare of Arizona's workforce, considered recommended changes to the 2019/2020 Arizona Physicians' and Pharmaceutical Fee Schedule to allow for COVID-19 tests, virtual check-ins, and e-visits. These proposed changes to the Fee Schedule are aligned with the newly developed benefits from the Centers for Medicare and Medicaid Services (CMS). The Medical Resource Office presented the recommendations below to the Commissioners at the Industrial Commission of Arizona's Commission meeting on Thursday, March 26, 2020, at 1:00 pm. The Medical Resource Office Recommendations were:
  • Adoption of Three CPT®-4 Codes Included in the 2020 Edition of the American Medical Association's Physicians' Current Procedural Terminology, Fourth Edition for E-Visits, 99421-99423. The three codes are used for E-Visits, which are non-face-to-face, patient-initiated communications with a physician using online patient portals. These e-services can only be reported when the billing practice has an established relationship with the patient.
  • Adoption of Three Healthcare Common Procedure Coding System (HCPCS) Level II G Codes for E-visits by a Qualified Non-Physician Healthcare Provider, G2061-G2063. The three codes are used for E-Visits which are non-face-to-face, patient-initiated communications with a qualified non-physician healthcare provider by using online patient portals. These services can only be reported when the billing practice has an established relationship with the patient.
  • Adoption of Two Healthcare Common Procedure Coding System (HCPCS) Level II G Codes for Virtual Check-ins, G2010, and G2012. The two codes are used for a Virtual Check-in with doctors and certain practitioners via a number of communication technology modalities, including synchronous discussion over a telephone or exchange of information through video or image. Virtual check-ins are initiated by the patient and may be performed via multiple technology modalities, including telephone, secure text messaging, email, or use of a patient portal. Virtual check-ins can be conducted with a broader range of communication methods, unlike telemedicine services, which require audio and visual capabilities for real-time communication.
  • Adoption of Two Healthcare Common Procedure Coding System (HCPCS) U Codes for Laboratory Testing for infection of SARS-CoV-2/2019-nCoV (COVID-19), U0001 and U0002. Laboratories performing testing will use the new HCPCS codes for testing after February 4, 2020.
  • Adoption of One CPT®-4 Code Included in the 2020 Edition of the American Medical Association's Physicians' Current Procedural Terminology, Fourth Edition for Pathology and Laboratory specific to COVID-19, 87635. The full CPT code description for 87635 is: "Infectious agent detection by nucleic acid (DNA or RNA); severe acute respiratory syndrome coronavirus 2 (SARS-CoV-2) (Coronavirus disease [COVID-19]), amplified probe technique.".

Staff recommendations can be found on the Industrial Commission of Arizona website at  

https://www.azica.gov/sites/default/files/media/2019-2020%20Fee%20Schedule%20Update%20Memo%20%26%20Proposal%20%283-20-20%29.pdf.

REGULATORY ACTIVITY:

• Arizona Out-of-State Adjuster Authorization Program: Generally, self-insured employers and insurance carriers that have or are underwriting workers’ compensation policies in Arizona are required to process and pay workers’ compensation claims in an Arizona claims office. See Arizona Administrative Code (“A.A.C.”) R20-5-130(A). Under R20-5-130(B), however, carriers and self-insured employers may request authorization from the Industrial Commission of Arizona (“ICA”) to maintain an out-of-state claims office. Authorization is conditioned upon satisfactory evidence of the following:
  1. Existence of a toll-free telephone line to the out-of-state claims office;
  2. Completion of ICA Claims Division training by individuals responsible for claims processing at the out-of-state office; and
  3. Designation of a financial institution located in Arizona that will cash on demand checks issued by the out-of-state claims office.

Adjusters who handle claims in an out-of-state office must obtain authorization from the ICA by participating in or attending designated training programs offered by the ICA and successfully passing a post-test. Training may be completed by attending the ICA’s annual Claims Seminar or by participation in an internet-based training program. Authorization must be renewed every two years.

REGULATORY ACTIVITY:

• The Industrial Commission of Arizona is pleased to announce the launch of the new ICA Community! ICA Community user accounts are available to any authorized individual, including claimants, attorneys, employer representatives/adjusters, carrier representatives/adjusters, and third-party administrator representatives/adjusters. Users may create ICA Community accounts by visiting the "ICA Community" webpage (https://azicawc.force.com/claims/) and following the steps to create a new account by requesting access to a workers' compensation claim and ALJ file.  Individuals who previously had user accounts established in the ICA Claims Portal will be receiving an e-mail (at the e-mail address associated with the ICA Claims Portal) from Salesforce with username, instructions on accessing the ICA Community, and a link to create a new password. The sender of the e-mail will be "noreply@salesforce.com on behalf of ICA Claims Community." If you had a user account in the ICA Claims Portal and do not receive an e-mail today, please check your "spam" folder or, alternatively, visit the ICA Community and create a new account. Please note that the reset password link in the e-mail is only valid for 24 hours. If the reset password link expires or, during the new account setup process, you receive a message stating, "You are an existing Contact and your vetting request might already be in progress," please select the "Log In" button in the upper right corner of the ICA Community and follow the "Forgot your password?" link. User accounts migrated from the ICA Claims Portal will include access to Claim records that were previously approved in the ICA Claims Portal. Please note that document migration will be continuing over the next 48 hours. If you are unable to view a document in ICA Community, please check back later. For more information about the new system, please visit azica.gov/newsystem. Training resources regarding usage of the ICA Community have been posted to the web page. If you have any problems logging into or creating an account in ICA Community, please call Customer Service at (602) 542-6734 or e-mail claims@azica.gov .
• Notice of 2019-2020 Physicians’ and Pharmaceutical Fee Schedule Public Hearing:  On July 1, 2019, the Industrial Commission of Arizona will hold its Annual Fee Schedule Public Hearing pertaining to the annual review of the Physicians’ and Pharmaceutical Fee Schedule.  See A.R.S. § 23-908(B).  The hearing will be held at 1:00 p.m. in the first-floor auditorium of the Commission, which is located at 800 West Washington Street, Phoenix, Arizona, as part of the Commission’s scheduled meeting for that day.  In addition to public comments, the Commission will also consider a proposal prepared by Commission staff, which is currently posted on the Commission’s MRO webpage (https://www.azica.gov/divisions/medical-resource-office-mro).  The Staff Proposal is a preliminary document that is intended to serve as a foundational document for discussions that may arise during the public hearing process.  The record is considered open, and written and oral comments will be accepted until close of business on July 8, 2019.  Written comments may be submitted c/o Jacqueline Kurth, Manager, Medical Resource Office, via fax (602) 542- 4797; email to mro@azica.gov; or mail to P.O. Box 19070, Phoenix, Arizona 85005-9070.  To view the staff proposal and pharmaceutical guidelines and the proposed fee schedule tables, go to https://www.azica.gov/divisions/medical-resource-office-mro.

REGULATORY ACTIVITY:

• The Industrial Commission of Arizona is pleased to announce that user acceptance testing has successfully been completed on the Commission’s new Claims/ALJ System.  Barring any unforeseen vendor setbacks, the Commission will launch the new System on May 28, 2019.  The new Salesforce-based system will feature automated workflow capabilities, enhanced analytics, superior document management, and a dynamic web-based portal for interested parties – known as the “ICA Community.”   Please note that new communication methods for outbound documents will be effective on May 28 – upon launch of the new System.  As outlined in prior notices, the new System will require interested parties (i.e., carriers, employers, claimants, and legal representatives) to select a single “preferred communication method” for Claims and/or ALJ communications.  After launch of the new System, the Commission will no longer address outbound Claims and/or ALJ communications to third-party administrators, but instead will send communications to interested parties in accordance with selected “preferred communication methods.”  Interested parties that do not select a “preferred communication method” prior to launch of the new System will default to service by U.S. Mail until an alternative method of communication is selected in the “ICA Community.”  The Commission strongly suggests that impacted parties – especially carriers and self-insured employers that use multiple third-party administrators – finalize all business processes in advance of May 28 to ensure timely and efficient document distribution.   For further information about selecting a “preferred communication method,” obtaining access to “administrator privileges,” or completing the “Request and Agreement for Alternative Service and Waiver of A.A.C. R20-5-158(B)” (“Request and Agreement”) or “Administrator Account Request Form,” please visit azica.gov/newsystem.  The Commission will continue to accept the “Request and Agreement” and “Administrator Account Request” forms through May 3, 2019. To view the full announcement, go to https://www.azica.gov/.
• The Industrial Commission of Arizona is looking forward to the launch of the new Claims/ALJ System on Tuesday, May 28.  After launch of the new System, interested parties and their authorized representatives (including third-party administrators) will be able to serve documents on the Commission in the ways described below.
  • 1) Webforms and Document Upload in the NEW ICA Community   (RECOMMENDED) - The Commission strongly recommends that interested parties utilize webforms and the Document Upload feature in the new ICA Community for submitting both Claims and ALJ documents (including case filings) to the Commission.  Webforms available in the ICA Community will include the most common Commission forms used by injured workers, carriers/self-insureds, employers, and attorneys.  Documents not available as webforms can be uploaded directly to an ALJ matter or Claim record by using the Document Upload feature.  Webforms and documents uploaded through the ICA Community will be electronically processed and added to the relevant Claim record or ALJ matter without delay and without any of the risks associated with manual processing.  In addition, a party submitting a webform will be e-mailed a complete PDF copy of the form for inclusion in an internal file and for service on other interested parties.
  • 2) Secured File Transfer Protocol ("SFTP")* (RECOMMENDED) - If an SFTP account has been requested and established, an interested party will be able to serve documents on the Commission by uploading documents and data into the Commission's SFTP system.  Documents and data submitted through SFTP will be retrieved, processed, and uploaded to the appropriate Claims or ALJ file by a contracted vendor.
  • 3) Electronic Fax* - Interested parties who choose to fax Claims or ALJ documents to the Commission are asked to utilize the following fax numbers: For Claims Filings - (602) 542-3373; For ALJ Filings - (602) 542-4135. The Commission respectfully asks that interested parties discontinue faxing Claims or ALJ documents to the Commission to any other fax number (including the Tucson ALJ fax number).  All documents submitted by fax will be directed to the Commission's contracted vendor to be "document typed" (doc-typed) and uploaded to the appropriate Claims or ALJ file.
  • 4) U.S. Mail* - Interested parties who choose to serve Claims or ALJ documents on the Commission by U.S. Mail are asked to send all mail to the following address: For Claims Filings: Industrial Commission of Arizona, Attn: Claims Filing P.O. Box 19070 Phoenix, Arizona 85005-9070; For ALJ Filings: Industrial Commission of Arizona, Attn: ALJ Filing, P.O. Box 19070 Phoenix, Arizona 85005-9070. The Commission respectfully asks that interested parties discontinue mailing Claims or ALJ documents to any other address, including the Commission's Tucson location.  Documents submitted by mail will be directed to the Commission's contracted vendor (based in Phoenix) to be doc-typed and uploaded to the appropriate Claims or ALJ file.  Any documents mailed to the Tucson location will need to be transported to Phoenix for processing, which will result in additional delays and expense.
  • 5) Hand Delivery to the Commission* - Interested parties are permitted to serve Claims and/or ALJ documents on the Commission via hand delivery to either the Phoenix or Tucson location.  However, please be advised that processing of hand deliveries to the Tucson location, even for ALJ matters being heard in Tucson, will encounter an anticipated 48-hour delay in order to transport the documents to Phoenix for processing by the Commission's contracted vendor.  The Commission respectfully asks that interested parties utilize alternative methods of service (described above), where possible, to reduce delays and expenses associated with processing hand-delivered documents. *Note:  The Commission anticipates that the administrative processing associated with SFTP, Electronic Fax, U.S. Mail, or Hand Delivery will take approximately 24 hours, which means that the Claims and/or ALJ Divisions' access to documents will be somewhat delayed.  In addition, despite efforts by the Commission to ensure proper administrative processing, there is a risk that documents submitted by SFTP, Electronic Fax, U.S. Mail, or Hand Delivery could be inaccurately doc-typed and/or uploaded to a file in error.  For these reasons, the Commission strongly recommends that interested parties utilize webforms and the Document Upload feature in the new ICA Community when possible (see Option 1, above). Please note that service on the Commission does not affect the duties of parties to comply with service requirements related to other interested parties.
• ICA Claim Number: Regardless of the method selected for serving documents on the Commission, interested parties should ensure that filed documents contain the relevant ICA Claim Number(s) (unless an ICA Claim Number has not yet been established).  Without an ICA Claim Number, processing of submitted documents may be delayed.  In such instances, the Claims Division may need to reach out to the filing party to obtain information necessary for processing. ALJ Hearing Number and ALJ Document Typing: Upon launch of the new Claims/ALJ System, all ALJ cases will have an assigned ALJ Case Number.  Inquiries regarding ALJ Case Numbers can be directed to the ALJ Division at 602-542-5241 (ALJ Front Desk). Interested parties in ALJ matters who utilize the ICA Community's Document Upload feature will be required to input the applicable ICA Claim Number, ALJ Case Number, and identify the type of document being uploaded.  This will ensure the document is routed to the appropriate ALJ hearing file without delay or need for further processing.  Interested parties who choose to serve ALJ documents on the Commission via SFTP, Electronic Fax, U.S. Mail, or Hand Delivery are respectfully requested to attach an "ALJ Case Filing Cover Page" to the front of all such filings.  The Cover Page should include the applicable Claim Number, ALJ Case Number, and the type of document being filed.  The Cover Page will help ensure that the document is appropriately doc-typed and routed to the correct ALJ hearing file in the new System.  Processing of ALJ filings submitted via SFTP, Electronic Fax, U.S. Mail, or Hand Delivery without the Cover Page or without an ALJ Case Number could be delayed pending investigation by the Commission.  In such instances, the Commission may need to reach out to the filing party to obtain information necessary for proper processing. The ALJ Case Filing Cover Page can be found at: https://www.azica.gov/forms/alj8801.
• Expedited ALJ Requests: Due to processing delays associated with submission of documents by SFTP, Electronic Fax, Mail, or Hand-Delivery, interested parties who require expedited communications with an ALJ should either utilize the Document Upload feature in the ICA Community or contact the presiding ALJ by phone.
• Additional information:  For more information about the new System, please visit azica.gov/newsystem. Questions regarding the content of this letter may be directed to Ruby Tate (at Ruby.Tate@azica.gov) or Julie Hill (at Julie.Hill@azica.gov).  PIO Contact Name: Trevor Laky Title: Chief of Legislative Affairs and Public Information Officer Phone: 602-542-4478, Email address: trevor.laky@azica.gov.
• The Industrial Commission of Arizona has posted notice of modification to the following mandatory workers' compensation forms: 103 (Notice of Supportive Medical Maintenance Benefits); 104 (Notice of Claim Status); 105 (Notice of Suspension of Benefits); 106 (Notice of Permanent Disability or Death Benefits); 107 (Notice of Permanent Disability and Request for Determination of Benefits); and 108 (Recommended Average Monthly Wage Calculation of Carrier). The modified forms described above will be available and authorized for use beginning on May 28, 2019.  With the exception of the updated 103 form, webform versions of the modified forms will be available on May 28, 2019, in the new ICA Community.  A webform version of the updated 103 form is in development and will be added to the ICA Community.  The ICA strongly encourages payer representatives and workers' compensation claim adjusters to submit claim forms, including those described above, via the ICA Community after launch of the new System.  Payers who wish to obtain copies of the newly-modified forms may submit an e-mail request to claims@azica.gov on or after May 28, 2019.  Requests will be processed as expeditiously as possible.  Although the modified forms will be available and authorized for use beginning on May 28, 2019, payers and authorized payer representatives may continue to use the existing version of the forms until September 27, 2019, at which time usage of the modified forms will become mandatory.  Effective September 27, 2019, existing versions of the 103, 104, 105, 106, 107, and 108 forms will no longer be authorized for use and all previously-authorized alterations of the forms will expire.  Payers who wish to modify or alter the new forms, even for non-substantive alterations, must request approval from the Commission by submitting a written request by e-mail to Claims Manager Ruby Tate (ruby.tate@azica.gov).

REGULATORY ACTIVITY:

• The Industrial Commission of Arizona has adopted the Official Disability Guidelines and Drug Formulary as the standard reference for evidence-based medicine within the context of the Arizona workers' compensation system. Please see the following information on a webinar hosted by ODG by MCG:  Date: Tuesday, May 21, 2019; Time 1:00PM - 2:00PM ET (10:00AM - 11:00AM PT).  For additional information, go to  http://info.mcg.com/webinar-odg-arizona-formulary.html?utm_medium=email&utm_source=marketo&utm_campaign=webinar-invite&.
• Posted notice that the Annual Claims Seminar will be held on August 8-9 at the JW Marriot Camelback INN in Scottsdale Arizona.  Registration will be open soon.
• Under A.R.S. § 23-1065(F), after notice and a hearing, the Commission is authorized to levy an additional one-half percent assessment under A.R.S. § 23-1065(A) if the total annual reserved liabilities of the Special Fund for apportionment under §§ 23-1065(B) and (C) exceed six million dollars.  Please be advised that the Commission will hold a public hearing to gather information concerning this assessment on May 23, 2019, at 1:00 p.m. in the Commissioner’s Conference Room, 3rd Floor, located at 800 West Washington Street, Phoenix, Arizona.  This hearing will be held as part of the Commission’s scheduled meeting for that day.  The record is considered open, and written and oral comments will be accepted until the close of the hearing on May 23, 2019.  At a later date, the Commissioners will discuss and may take action on this assessment.  Written comments may be submitted prior to the hearing c/o Kara Dimas, Executive Secretary, Office of the Commission Director, P.O. Box 19070, Phoenix, Arizona 85005-9070.

LEGISLATIVE ACTIONS:

• House Bill 2137

The Industrial Commission of Arizona (ICA) regulates the workers' compensation insurance industry.  The ICA's responsibilities include occupational safety and health issues, youth employment laws, wage claim dispute resolutions, minimum wage and other labor related issues. The ICA provides workers' compensation coverage for claimants of uninsured employers, insolvent insurance carriers, and self-insured employers.  Additionally, the ICA processes workers’ compensation claims involving workers injured on the job through no-fault of their own. The ICA is funded by an annual assessment on workers' compensation premiums that cannot exceed 3%.  Current law requires employers to secure workers' compensation for their employees either:

1. By obtaining workers' compensation insurance with a licensed insurance carrier; or
2. By furnishing satisfactory proof of financial ability to pay the compensation directly (self-insured) or through a workers' compensation pool (R.S. § 23-961).

Pursuant to A.R.S. § 23-966, the Special Fund assumes liability for all workers’ compensation claims against self-insured employers who fail to pay a workers' compensation claim. The Special Fund will pay medical and compensation benefits to the injured employee. The ICA may levy an assessment on workers' compensation insurance premiums at a rate that is no more than is necessary to keep the Special Fund actuarially sound (A.R.S. § 23-1065).  According to the ICA the current rate is 0%.  This legislation asserts the Special Fund is the successor in interest to all excess insurance policies in effect at the time of an assignment that insure any part of the self-insured employer's financial obligations (Sec. 1). It specifies the recovery rights of the Special Fund are subject to applicable coverage terms and policy limits in the excess policy (Sec. 1). The legislation requires the excess insurer to directly pay the Special Fund for any covered amounts spent (Sec. 1).  It stipulates the Special Fund has a claim against the employer for amounts spent or anticipated to be spent, unless recovered from the excess insurer (Sec. 1).  Effective Date July 29, 2019.

REGULATORY ACTIVITY:

• The Industrial Commission of Arizona Claims Division is pleased to announce the relaunch of the Out-of-State Adjustor Authorization Program. The Commission has developed an internet-based training program to supplement the annual ICA Claim's Seminar. The internet-based training program will offer current training on workers' compensation processes and procedures in a more flexible format. Out-of-state adjusters will have access to pre-recorded training webinars (available on demand) on topics ranging from new claim notifications, active claims management, closing claims with permanent impairment, and more. Out-of-state adjusters may use the internet-based training program to become authorized (or maintain authorization) to handle Arizona workers' compensation claims in and out-of-state pursuant to R20-5-130(B). In addition, any adjuster or interested member of the public will have the ability to view the webinars to become better acquainted with the Arizona workers' compensation system. Please visit https://www.azica.gov/out-state-adjuster-authorization-program for detailed instructions on enrolling in the internet-based training program and for more information about the Annual Claims Seminar. Please note, out-of-state adjusters who received extensions of a prior authorization from the ICA or who participated in an alternative training program are required to renew their training on or before April 16, 2019.  If 2017/2018 reference materials were purchased as part of an alternative training program, please indicate this when enrolling in the live webinar Q&A portion of the training program. Participants who participated in an alternative training program and who purchased 2017/2018 reference materials will not be required to purchase updated reference materials unless the Claims Division is unable to verify prior purchase. Please contact Ruby Tate, Claims Manager at 602-542-4317 or Ruby.Tate@azica.gov for further information. PIO Contact: Name: Trevor Laky; Title: Chief of Legislative Affairs and Public Information Officer; Phone: 602-542-4478; Email address: trevor.laky@azica.gov.  To view the notice, go to https://www.azica.gov/news-and-events.

REGULATORY ACTIVITY:

• Issued a document entitled Frequently Asked Questions RE: Communication Methods in the New Claims System.  To view the document, go to https://www.azica.gov/news-and-events.
• The Industrial Commission of Arizona’s plan to replace the Claims Division’s 27-year-old, COBOL based mainframe computer system is nearing completion.  Please be advised that the Commission’s prior plan to launch the new Claims System on February 19, 2019, has been delayed.  Barring any further setbacks, the Commission expects to launch the new Claims System in March 2019.  The new Salesforce-based system will feature automated workflow capabilities, enhanced analytics, superior document management, and a dynamic web-based portal for interested parties – known as the “ICA Community.”