Regulatory Compliance

CorVel helps reduce workers’ compensation costs through immediate intervention, claims management, medical treatment plans, return to work programs, medical bill review, preferred provider savings and patient management. Our cost containment solutions are based on a simple formula that combines industry leading bill review, case management expertise and a national PPO built for the casualty market. Each innovation offers Michigan employers improved return to work outcomes and industry leading savings.

CorVel specializes in applying advanced communication and information technology to improve disability management for Michigan employers. Our proprietary solutions can be tailored to your specific state risk management program.

Michigan Regulatory Updates 12/29/2024

SB 1080 – Worker’s Compensation: Benefits; Compensation For Death Resulting from Personal Injury; Modify.

Issues: Workers’ Compensation (General)

Summary For 11/22/2024

This measure modifies provisions on compensation given to dependents if an employee is injured or dies due to an injury at work.

If the employee supports people who are partly dependent on their earnings during the injury period, the weekly compensation must be calculated based on the same proportion as the employee’s income compared to the combined income of the employee and the partially dependent person at the time of the injury.

If an employee dies due to a personal injury:

• their spouse, who was living with the employee at the time of death, is presumed to be fully dependent on the employee’s earnings for support up to 208 weeks after the death.
  • After the 208-week period, the continuing dependency is determined based on the facts at the time of the injury.
  • If the spouse qualifies for ongoing weekly compensation, they will receive payments for up to 500 weeks from the date of the employee’s death.
• their child who is under 18 years old or their child who is over 18 and is mentally or physically incapacitated from earning will be considered fully dependent on the employee’s earnings.
  •  Any remaining compensation is payable to the dependent individual for support to the employee’s death can not exceed $500.
    • This applies to individuals entitled to compensation, under this measure on July 30, 2025, and have not reached 18 years old by that date.
• the employer will pay for funeral and burial costs that can not exceed $12,000.

This measure takes effect immediately if passed by 2/3 of both chambers or 90 days after adjournment if not passed by 2/3 of both chambers.

Most Recent Update:

• 11/07/2024 – Introduced; Referred to Senate Labor Committee

SB 1079 – Worker’s Compensation: Benefits; Requirements Regarding Wage Earning Capacity; Modify.

Issues: Workers’ Compensation (General)

Summary For 11/08/2024

If the personal injury that was caused by the individual’s employment, results in a disability and the injured individual does not receive wages in the weeks following the injury, the employer must pay the employee compensation that is equal to 80% of the employee’s after-tax weekly wage. Compensation will be paid for the duration of the disability.

• The tables published for the year the employee was injured will be used to calculate the employee’s after-tax average weekly wage, wage loss, and benefits.
• If an employee receives a bona fide offer of reasonable employment from another employer, or the state unemployment insurance refuses employment without good cause, the employee is considered to have removed themselves from the workforce and is not entitled to wage loss benefits.
  • The employer has the burden of proof of establishing that an employee received a bona fide offer of reasonable employment.
• If an employee, after being employed for less than 100 weeks, loses their job, it is presumed that the employee’s personal injury is the cause of their disability and wage loss.
  • This can be challenged if the employer can prove that the employee’s termination was due to willful and serious misconduct.
    • If the presumption does not apply, and the employee loses their job after being employed for less than 100 weeks, the question of whether the injury caused work-related disability and wage loss will be determined based on the facts.

Starting January 1 after the effective date of this measure and each year following, the maximum weekly rate of compensation for injuries occurring within that year must be established as 100% of the state average weekly wage prior June 30, adjusted to the next higher multiple of $1.00.

•  If an employee’s health insurance or dental insurance, does not continue during the disability, the value of the insurance must be included in the employee’s average weekly wage calculation regardless of whether the calculation results in an amount that is greater than2/3 of the state average weekly wage at the time of injury.

The specific loss period for serious and permanent scarring or disfigurement to the face or head is 52 weeks. This measure applies to personal injuries and work-related diseases incurred on or after the effective date of this measure. This measure takes effect immediately if passed by 2/3 of both chambers or 90 days after adjournment if not passed by 2/3 of both chambers.

Most Recent Update:

• 11/07/2024 – Introduced; Referred to Senate Labor Committee

Michigan Regulatory Updates 07/11/2024

SB 927 – Worker’s Compensation: Other; Issuance of Policy; Modify. Amends Sec. 625 of 1969 Pa 317 (Mcl 418.625).

Issues: Workers’ Compensation (General)

Summary For 06/21/2024

This measure requires workers’ compensation insurers, or the Compensation Advisory Organization of Michigan on behalf of the insurer, to submit to the director notices of an insurance issuance, termination, or employer name change.

• The Director can create rules regarding filing fees for notice and a system for collecting filing fees.
• It prohibits filing fees when using agency-approved electronic record layout and transaction standards.

This measure takes effect immediately if passed by 2/3 of both chambers or 90 days after adjournment if not passed by 2/3 of both chambers

Most Recent Update:

• 06/20/2024 – Passed Committee; Passed Senate; Referred to House Appropriations Committee
• 06/13/2024 – Introduced; Referred to Senate Appropriations Committee

Michigan Services

• Workers’ compensation claims administration
• Medical bill review in compliance with state requirements
• Local PPO development and management
• Case management services

Michigan Resources

Michigan Compensation Website

Michigan Government Website