Oregon Secretary of State

Department of Consumer and Business Services

Workers' Compensation Division - Chapter 436

Division 30
CLAIM CLOSURE AND RECONSIDERATION

436-030-0175
Fees and Penalties within the Reconsideration Proceeding

(1) An insurer failing to provide information or documentation as set forth in OAR 436-030-0135, 436-030-0145, 436-030-0155 and 436-030-0165 may be assessed civil penalties under OAR 436-030-0580. Failure to comply with the requirements set forth in OAR 436-030-0135, 436-030-0145, 436-030-0155, and 436-030-0165 may also be grounds for extending the reconsideration proceeding under ORS 656.268(6).

(2) If upon reconsideration of a Notice of Closure there is an increase of 25 percent or more in the amount of permanent disability compensation from that awarded by the Notice of Closure, and the worker is found to be at least 20 percent permanently disabled, the insurer will be ordered to pay the worker a penalty equal to 25 percent of the increased amount of permanent disability compensation. Penalties will not be assessed if an increase in compensation results from one of the following:

(a) An order issued by the director that addresses the extent of the worker’s permanent disability that is not based on the standards adopted under ORS 656.726(4)(f);

(b) New information is obtained through a medical arbiter examination, for claims with medically stationary dates or statutory closure dates on or after June 7, 1995; or

(c) Information that the insurer or self-insured employer demonstrates they could not reasonably have known at the time of claim closure.

(3) For the purpose of section (2) of this rule, a worker who receives a total sum of 64 degrees of scheduled or unscheduled disability or a combination thereof, will be found to be at least 20 percent disabled.

For example: A worker who receives 20 percent disability of a great toe (3.6 degrees) is not considered 20 percent permanently disabled because the great toe is only a portion of the whole person. A worker who is 100 percent permanently disabled is entitled to 320 degrees of disability. A worker who receives 64 degrees (20 percent of 320 degrees), whether scheduled, unscheduled or a combination thereof, will be considered the equivalent of at least 20 percent permanently disabled for the purposes of this rule.

(4) Attorney fees under ORS 656.268(6)(c) are addressed in OAR 436-001-0432. Attorney fees under ORS 656.383(1) are addressed in OAR 436-001-0438.

Statutory/Other Authority: ORS 656.726
Statutes/Other Implemented: ORS 656.268, ORS 656.383 & ORS 656.745
History:
WCD 6-2022, amend filed 07/05/2022, effective 09/01/2022
WCD 11-2007, f. 11-1-07, cert. ef. 1-2-08
WCD 8-2005, f. 12-6-05, cert. ef. 1-1-06
WCD 9-2004, f. 10-26-04, cert. ef. 1-1-05
WCD 2-2004, f. 2-19-04 cert. ef. 2-29-04
WCD 9-2000, f. 11-13-00, cert. ef. 1-1-01
WCD 8-1999, f. & cert. ef. 4-28-99
WCD 2-1999(Temp), f. 1-14-99, cert. ef. 2-1-99 thru 7-30-99
WCD 17-1997, f. 12-22-97, cert. ef. 1-15-98
WCD 8-1996, f. 2-14-96, cert. ef. 2-17-96
WCD 11-1995(Temp), f. & cert. ef. 8-23-95
WCD 12-1994, f. 11-18-94, cert. ef. 1-1-95


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