Requires an injured worker or person entitled to a death benefit to be provided with the option to have the compensation payment made through direct deposit, and requires such person be given notice of such option and the forms necessary to enroll.
STATE OF NEW YORK
________________________________________________________________________
7210
IN SENATE
January 10, 2020
___________
Introduced by Sen. SAVINO -- read twice and ordered printed, and when
printed to be committed to the Committee on Labor
AN ACT to amend the workers' compensation law, in relation to the direct
deposit of benefits
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Subdivision 9 of section 25 of the workers' compensation
2 law, as added by chapter 638 of the laws of 2004, paragraph (a) as
3 amended by chapter 70 of the laws of 2005, is amended to read as
4 follows:
5 9. Direct deposit. (a) Compensation payments or any portion of compen-
6 sation payments [may] shall be allowed, upon the written request from an
7 injured worker or a person entitled to a death benefit provided by this
8 chapter, to be deposited directly in a bank for any purpose to an
9 account in the name of such injured worker or person entitled to a death
10 benefit, on forms provided by the board, and duly filed in accordance
11 with such regulations[, provided that an injured worker's employer, if
12 such employer is an authorized self insured employer, or otherwise such
13 employer's insurance carrier, has elected to permit the direct deposit
14 of such compensation payments]. Each person eligible to receive payment
15 of compensation or a death benefit under this section shall be notified
16 of the option to receive such payment in the form of direct deposit,
17 such notice to be promulgated by the board. Such eligible person shall
18 also be provided the forms necessary to enroll in direct deposit pursu-
19 ant to this paragraph at the same time as notice is given pursuant to
20 this paragraph.
21 (b) The board is hereby authorized to promulgate reasonable rules and
22 regulations, as may be necessary, to administer the direct deposit of
23 injured worker's compensation payments. In regard to the deposit of a
24 portion of an injured worker's compensation payment, such regulations
25 shall permit the deposit of a payment to be split between multiple
26 accounts by either a dollar amount or exact percentage, provided, howev-
27 er, such regulations may establish a minimum dollar amount and may limit
28 the maximum number of partial deposits allowed.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD11454-01-9
S. 7210 2
1 (c) As used in this subdivision, the term "bank" includes any finan-
2 cial institution which is a member of the New York automated clearing-
3 house or any financial institution designated by the board.
4 § 2. This act shall take effect immediately.
