CT State Updates - 2015 Jan 13 No.01

On Dec. 1, 2014, the Connecticut Insurance Department issued Bulletin No. HC-101 in order to clarify the Department’s policy on insurance benefits payable for work-related injuries or sicknesses and for policies providing for disability income protection, accident only benefits or travel health policies. The following provisions must be followed for such policies:

Benefits payable as a result of work-related illness or injury under these policies must be payable on a lump sum or a fixed dollar (indemnity) basis. For example: $75 per/day while hospital confined, $10 per doctor office visit, $50 per day while out of work due to an accident or sickness and $1,000 death benefit payable to an employee’s family.A policy cannot provide benefits for work-related illness or injury based on the difference between what an employee was earning prior to a work-related accident or sickness and what the employee is entitled to receive from workers’ compensation following the accident or sickness.A disability income policy may only provide benefits for work related injuries and/or sickness on an indemnity or lump sum basis.A policy may not provide benefits for work-related illness or injury based on a percentage of pre-disability income.Work-related accident and sickness benefits must be payable in addition to any workers’ compensation benefits policy approved by the Insurance Commissioner under § 31-345 of the Connecticut General Statutes. A statement needs to be included in the policy to the effect that “This policy does not replace or otherwise effect any statutorily required workers’ compensation insurance required to be provided to you by law.”

Bulletin No. HC-101  »