The Industrial Commission is the state agency responsible for:
- Regulating workers' compensation activities in Idaho, including companies licensed to issue workers' compensation policies.
- Ensuring that employers have workers' compensation coverage as required by law.
- Settling disputes between injured workers, employers, and insurers.
- Deciding appeals for unemployment decisions from the Idaho Department of Labor.
- Providing compensation to innocent victims of crime through the Crime Victims Compensation Program.
This is an important notice of a temporary and proposed rule recently adopted by the Commission and approved by the Division of Financial Management and Governor’s office, effective July 1, 2014. Please click here for a copy of the entire IDAPA rule 17.02.11 governing self-insured employers. New language is underlined; pages 2 and 3 are a result of the statute change (IC §72-301A) last session specific to INL contractors. The new language on pages 6 and 7 relates to the application of an experience modification factor for premium tax assessment.
Under Idaho Code §72-523, every self-insurer pays a premium tax (currently 2%) based on the premium the employer would be required to pay to the State Insurance Fund (SIF) if the employer had obtained a workers’ compensation insurance policy from the SIF.
The SIF applies an experience modification factor (e-mod) when calculating premiums. Historically, the Industrial Commission has not considered an e-mod when computing premium tax for self-insured employers, but the proposed changes may affect how self-insured employers’ premium tax is computed. This change will be effective beginning with the 2014 reporting periods of July 31, 2014 and March 3, 2015. As a result of this rule change, self-insured employers may decide annually whether to submit an NCCI experience modification factor and form with their semiannual premium tax reports. Accordingly, the employer must obtain a current e-mod factor from NCCI for each calendar year they wish to use it in their premium tax calculation.
It is important to note, however, that Idaho Code §72-526 requires timely payment of premium tax. Since the initial reporting due date of July 31, 2014 for the Jan. 1-June 30, 2014 period is fast-approaching, and the fact that NCCI may require up to 45 days lead time to process and issue an e-mod factor, the Commission has further decided to allow self-insured employers to submit an e-mod factor issued by NCCI with a copy of the ERM-6 form, within 90 days following the July 31, 2014 filing deadline. As a result, the Commission will compute the impact to premium tax paid by a self-insured employer had an e-mod been applied and refund any difference. This is only being allowed for the July 31, 2014 reporting period and any future election of an e-mod must be submitted with a copy of the NCCI form ERM-6, the premium tax and computation forms, as indicated in rule.
Please click here for the ERM-6 form link on the NCCI website. Users do NOT need a user ID and password to view/print this form. A $75 check for the experience rating fee should be submitted with the ERM-6 form; information from the check is used to create the self-insured account.
NCCI Customer Service may be reached at 1(800)622-4123, ext. 4 for experience modification factor assistance.
If you have questions regarding any of this information, please contact the Idaho Industrial Commission fiscal department: Jane McClaran at (208) 334-6042, Therese Ryan at (208)334-6095 or Shelly Tudela at (208)334-6026.
Premium Tax Rate Deduction:
Per Idaho Code §72-523, the premium tax rate effective January 1, 2012 through December 31, 2015 has been reduced by 20% from 2.5% to 2.0%. The online premium tax form reflects this change for the semi-annual period January 1, 2012 through June 30, 2012. All reports and payments must be received in our office by close of business July 31, 2012. An informational letter was mailed April 3, 2012.
On April 7, 2011, the Idaho Industrial Commission stopped mailing reporting forms. These forms, as well as the NCCI rates, are now available online. Companies must print and submit the completed forms and tax payment for each six-month period.
A new exemption from the insurance requirement of the Workers’ Compensation Law will go into effect on July 1, 2014.
Idaho Code § 72-212(4) was amended during the 2013 legislative session to exempt family member employees of a single member limited liability company that is taxed as a sole proprietorship. The exemption applies only to family members residing in the employer’s household. Family member employees who meet the criteria to be exempt under the new exemption will not be covered under their employer’s workers’ compensation insurance policy as of July 1, 2014 unless an IC52 Election of Coverage form is filed with the Industrial Commission by the employer and the employer’s workers’ compensation insurance carrier. For additional information on the exemption, contact the Employer Compliance Department by phone at 208-334-6000 or by email to email@example.com.
Public Service Announcements:
In an effort to draw attention to and help employers understand Idaho's workers' compensation insurance requirements, the Industrial Commission has developed public service announcements. To view and listen to the Idaho Industrial Commission's Public Service Announcements please click the links below.
Rules for 2014 Legislative Session
Click to view Approved Rules and Statute Changes for the 2014 Legislative Session.
Approved Rules for 2013 Legislative Session
- 17-0204-1201 Administrative Rules of the Industrial Commission Under the Workers' Compensation Law - Benefits
- View the Medical Fees Rules (Proposed, Pending and Temporary)
Effective August 1, 2013, the Idaho Industrial Commission will begin receiving Idaho workers’ compensation insurance policy data from the National Council on Compensation Insurance (NCCI) in the IAIABC EDI POC Release 3.0 format. This change will affect what insurance carriers are required to report to NCCI.
Some of the key changes coming in Release 3.0 are the addition of data elements to identify deductible policies, professional employer organization (PEO) and client company relationships, state premium, as well as the addition of several new cancellation reasons including “failure to submit payroll information”. A copy of the data element requirements, event tables and edit matrix are available on the Commission’s website. Also, please refer to NCCI’s Proof of Coverage Circular, POC-ID-2013-0, which is available on NCCI’s website at www.ncci.com for additional instructions on the requirements for Proof of Coverage Release 3.0.
The administrative rules of the Industrial Commission require that new policies, renewal policies, reinstatements and endorsement information must be reported to NCCI within 30 days of the effective date. Cancellations and non-renewals must be reported to NCCI within the time frames required by Idaho Code §72-311.
If you have any questions regarding the new reporting requirements, please contact Christi Simon, Employer Compliance Manager, Idaho Industrial Commission, at (208) 334-6099 or by email at Christi.Simon@iic.idaho.gov.
JUDICIAL RULES OF PRACTICE AND PROCEDURE
For a copy of the Judicial Rules, effective May 8, 2013, please click the link below.
On April 7, 2011, the Idaho Industrial Commission stopped mailing premium tax forms to sureties, as this form is now available online. An informational letter was mailed June 7, 2011. Companies must print and submit the completed forms for the semi-annual period January 1, 2011 through June 30, 2011. All reports and payments must be received in our office by close of business on Monday, August 1. Failure to meet this deadline will result in the assessment and collection of penalties provided by law.
On June 8, 2012, the Idaho Industrial Commission sent notices regarding the Premium Tax Rate Reduction to Insurance Companies Approved to Write Workers' Compensation Under Idaho Law. The report and tax payment must be received in our office by July 31, 2012.
The next meeting of the Commission's Advisory Committee is scheduled to be held August 13, 2014 beginning at 9:30 AM in the Industrial Commission's first floor conference room, 700 Clearwater Lane, Boise, Idaho. Future meetings are scheduled for:
- August 13, 2014
- November 12, 2014