Bill Text: IL SB3392 | 2013-2014 | 98th General Assembly | Introduced

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Bill Title: Amends the Workers' Compensation Act. Provides that benefits accruing because of an accidental injury resulting in death shall be payable until the death of a widow or widower of a firefighter or police officer without consideration of whether the widow or widower remarries. Effective immediately.

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Failed) 2015-01-13 - Session Sine Die [SB3392 Detail]

Download: Illinois-2013-SB3392-Introduced.html

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98TH GENERAL ASSEMBLY State of Illinois 2013 and 2014 SB3392 Introduced 2/14/2014, by Sen. John M. Sullivan SYNOPSIS AS INTRODUCED:
820 ILCS 305/7 from Ch. 48, par. 138.7
Amends the Workers' Compensation Act. Provides that benefits accruing because of an accidental injury resulting in death shall be payable until the death of a widow or widower of a firefighter or police officer without consideration of whether the widow or widower remarries. Effective immediately.
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FISCAL NOTE ACT MAY APPLY STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT
A BILL FOR
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AN ACT concerning employment.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Workers' Compensation Act is amended by
changing Section 7 as follows:
(820 ILCS 305/7) (from Ch. 48, par. 138.7)
Sec. 7. The amount of compensation which shall be paid for
an accidental injury to the employee resulting in death is:
(a) If the employee leaves surviving a widow, widower,
child or children, the applicable weekly compensation rate
computed in accordance with subparagraph 2 of paragraph (b) of
Section 8, shall be payable during the life of the widow or
widower and if any surviving child or children shall not be
physically or mentally incapacitated then until the death of
the widow or widower or until the youngest child shall reach
the age of 18, whichever shall come later; provided that if
such child or children shall be enrolled as a full time student
in any accredited educational institution, the payments shall
continue until such child has attained the age of 25. In the
event any surviving child or children shall be physically or
mentally incapacitated, the payments shall continue for the
duration of such incapacity.
The term "child" means a child whom the deceased employee

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left surviving, including a posthumous child, a child legally
adopted, a child whom the deceased employee was legally
obligated to support or a child to whom the deceased employee
stood in loco parentis. The term "children" means the plural of
"child".
The term "physically or mentally incapacitated child or
children" means a child or children incapable of engaging in
regular and substantial gainful employment.
In the event of the remarriage of a widow or widower, other
than a widow or widower of a firefighter or police officer,
where the decedent did not leave surviving any child or
children who, at the time of such remarriage, are entitled to
compensation benefits under this Act, the surviving spouse
shall be paid a lump sum equal to 2 years compensation benefits
and all further rights of such widow or widower shall be
extinguished. If the widow or widower of a firefighter or
police officer remarries, he or she shall continue to receive
benefits.
If the employee leaves surviving any child or children
under 18 years of age who at the time of death shall be
entitled to compensation under this paragraph (a) of this
Section, the weekly compensation payments herein provided for
such child or children shall in any event continue for a period
of not less than 6 years.
Any beneficiary entitled to compensation under this
paragraph (a) of this Section shall receive from the special

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fund provided in paragraph (f) of this Section, in addition to
the compensation herein provided, supplemental benefits in
accordance with paragraph (g) of Section 8.
(b) If no compensation is payable under paragraph (a) of
this Section and the employee leaves surviving a parent or
parents who at the time of the accident were totally dependent
upon the earnings of the employee then weekly payments equal to
the compensation rate payable in the case where the employee
leaves surviving a widow or widower, shall be paid to such
parent or parents for the duration of their lives, and in the
event of the death of either, for the life of the survivor.
(c) If no compensation is payable under paragraphs (a) or
(b) of this Section and the employee leaves surviving any child
or children who are not entitled to compensation under the
foregoing paragraph (a) but who at the time of the accident
were nevertheless in any manner dependent upon the earnings of
the employee, or leaves surviving a parent or parents who at
the time of the accident were partially dependent upon the
earnings of the employee, then there shall be paid to such
dependent or dependents for a period of 8 years weekly
compensation payments at such proportion of the applicable rate
if the employee had left surviving a widow or widower as such
dependency bears to total dependency. In the event of the death
of any such beneficiary the share of such beneficiary shall be
divided equally among the surviving beneficiaries and in the
event of the death of the last such beneficiary all the rights

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under this paragraph shall be extinguished.
(d) If no compensation is payable under paragraphs (a), (b)
or (c) of this Section and the employee leaves surviving any
grandparent, grandparents, grandchild or grandchildren or
collateral heirs dependent upon the employee's earnings to the
extent of 50% or more of total dependency, then there shall be
paid to such dependent or dependents for a period of 5 years
weekly compensation payments at such proportion of the
applicable rate if the employee had left surviving a widow or
widower as such dependency bears to total dependency. In the
event of the death of any such beneficiary the share of such
beneficiary shall be divided equally among the surviving
beneficiaries and in the event of the death of the last such
beneficiary all rights hereunder shall be extinguished.
(e) The compensation to be paid for accidental injury which
results in death, as provided in this Section, shall be paid to
the persons who form the basis for determining the amount of
compensation to be paid by the employer, the respective shares
to be in the proportion of their respective dependency at the
time of the accident on the earnings of the deceased. The
Commission or an Arbitrator thereof may, in its or his
discretion, order or award the payment to the parent or
grandparent of a child for the latter's support the amount of
compensation which but for such order or award would have been
paid to such child as its share of the compensation payable,
which order or award may be modified from time to time by the

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Commission in its discretion with respect to the person to whom
shall be paid the amount of the order or award remaining unpaid
at the time of the modification.
The payments of compensation by the employer in accordance
with the order or award of the Commission discharges such
employer from all further obligation as to such compensation.
(f) The sum of $8,000 for burial expenses shall be paid by
the employer to the widow or widower, other dependent, next of
kin or to the person or persons incurring the expense of
burial.
In the event the employer failed to provide necessary first
aid, medical, surgical or hospital service, he shall pay the
cost thereof to the person or persons entitled to compensation
under paragraphs (a), (b), (c) or (d) of this Section, or to
the person or persons incurring the obligation therefore, or
providing the same.
On January 15 and July 15, 1981, and on January 15 and July
15 of each year thereafter the employer shall within 60 days
pay a sum equal to 1/8 of 1% of all compensation payments made
by him after July 1, 1980, either under this Act or the
Workers' Occupational Diseases Act, whether by lump sum
settlement or weekly compensation payments, but not including
hospital, surgical or rehabilitation payments, made during the
first 6 months and during the second 6 months respectively of
the fiscal year next preceding the date of the payments, into a
special fund which shall be designated the "Second Injury

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Fund", of which the State Treasurer is ex-officio custodian,
such special fund to be held and disbursed for the purposes
hereinafter stated in paragraphs (f) and (g) of Section 8,
either upon the order of the Commission or of a competent
court. Said special fund shall be deposited the same as are
State funds and any interest accruing thereon shall be added
thereto every 6 months. It is subject to audit the same as
State funds and accounts and is protected by the General bond
given by the State Treasurer. It is considered always
appropriated for the purposes of disbursements as provided in
Section 8, paragraph (f), of this Act, and shall be paid out
and disbursed as therein provided and shall not at any time be
appropriated or diverted to any other use or purpose.
On January 15, 1991, the employer shall further pay a sum
equal to one half of 1% of all compensation payments made by
him from January 1, 1990 through June 30, 1990 either under
this Act or under the Workers' Occupational Diseases Act,
whether by lump sum settlement or weekly compensation payments,
but not including hospital, surgical or rehabilitation
payments, into an additional Special Fund which shall be
designated as the "Rate Adjustment Fund". On March 15, 1991,
the employer shall pay into the Rate Adjustment Fund a sum
equal to one half of 1% of all such compensation payments made
from July 1, 1990 through December 31, 1990. Within 60 days
after July 15, 1991, the employer shall pay into the Rate
Adjustment Fund a sum equal to one half of 1% of all such

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compensation payments made from January 1, 1991 through June
30, 1991. Within 60 days after January 15 of 1992 and each
subsequent year through 1996, the employer shall pay into the
Rate Adjustment Fund a sum equal to one half of 1% of all such
compensation payments made in the last 6 months of the
preceding calendar year. Within 60 days after July 15 of 1992
and each subsequent year through 1995, the employer shall pay
into the Rate Adjustment Fund a sum equal to one half of 1% of
all such compensation payments made in the first 6 months of
the same calendar year. Within 60 days after January 15 of 1997
and each subsequent year through 2005, the employer shall pay
into the Rate Adjustment Fund a sum equal to three-fourths of
1% of all such compensation payments made in the last 6 months
of the preceding calendar year. Within 60 days after July 15 of
1996 and each subsequent year through 2004, the employer shall
pay into the Rate Adjustment Fund a sum equal to three-fourths
of 1% of all such compensation payments made in the first 6
months of the same calendar year. Within 60 days after July 15
of 2005, the employer shall pay into the Rate Adjustment Fund a
sum equal to 1% of such compensation payments made in the first
6 months of the same calendar year. Within 60 days after
January 15 of 2006 and each subsequent year, the employer shall
pay into the Rate Adjustment Fund a sum equal to 1.25% of such
compensation payments made in the last 6 months of the
preceding calendar year. Within 60 days after July 15 of 2006
and each subsequent year, the employer shall pay into the Rate

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Adjustment Fund a sum equal to 1.25% of such compensation
payments made in the first 6 months of the same calendar year.
The administrative costs of collecting assessments from
employers for the Rate Adjustment Fund shall be paid from the
Rate Adjustment Fund. The cost of an actuarial audit of the
Fund shall be paid from the Rate Adjustment Fund. The State
Treasurer is ex officio custodian of such Special Fund and the
same shall be held and disbursed for the purposes hereinafter
stated in paragraphs (f) and (g) of Section 8 upon the order of
the Commission or of a competent court. The Rate Adjustment
Fund shall be deposited the same as are State funds and any
interest accruing thereon shall be added thereto every 6
months. It shall be subject to audit the same as State funds
and accounts and shall be protected by the general bond given
by the State Treasurer. It is considered always appropriated
for the purposes of disbursements as provided in paragraphs (f)
and (g) of Section 8 of this Act and shall be paid out and
disbursed as therein provided and shall not at any time be
appropriated or diverted to any other use or purpose. Within 5
days after the effective date of this amendatory Act of 1990,
the Comptroller and the State Treasurer shall transfer
$1,000,000 from the General Revenue Fund to the Rate Adjustment
Fund. By February 15, 1991, the Comptroller and the State
Treasurer shall transfer $1,000,000 from the Rate Adjustment
Fund to the General Revenue Fund. The Comptroller and Treasurer
are authorized to make transfers at the request of the Chairman

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up to a total of $19,000,000 from the Second Injury Fund, the
General Revenue Fund, and the Workers' Compensation Benefit
Trust Fund to the Rate Adjustment Fund to the extent that there
is insufficient money in the Rate Adjustment Fund to pay claims
and obligations. Amounts may be transferred from the General
Revenue Fund only if the funds in the Second Injury Fund or the
Workers' Compensation Benefit Trust Fund are insufficient to
pay claims and obligations of the Rate Adjustment Fund. All
amounts transferred from the Second Injury Fund, the General
Revenue Fund, and the Workers' Compensation Benefit Trust Fund
shall be repaid from the Rate Adjustment Fund within 270 days
of a transfer, together with interest at the rate earned by
moneys on deposit in the Fund or Funds from which the moneys
were transferred.
Upon a finding by the Commission, after reasonable notice
and hearing, that any employer has willfully and knowingly
failed to pay the proper amounts into the Second Injury Fund or
the Rate Adjustment Fund required by this Section or if such
payments are not made within the time periods prescribed by
this Section, the employer shall, in addition to such payments,
pay a penalty of 20% of the amount required to be paid or
$2,500, whichever is greater, for each year or part thereof of
such failure to pay. This penalty shall only apply to
obligations of an employer to the Second Injury Fund or the
Rate Adjustment Fund accruing after the effective date of this
amendatory Act of 1989. All or part of such a penalty may be

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waived by the Commission for good cause shown.
Any obligations of an employer to the Second Injury Fund
and Rate Adjustment Fund accruing prior to the effective date
of this amendatory Act of 1989 shall be paid in full by such
employer within 5 years of the effective date of this
amendatory Act of 1989, with at least one-fifth of such
obligation to be paid during each year following the effective
date of this amendatory Act of 1989. If the Commission finds,
following reasonable notice and hearing, that an employer has
failed to make timely payment of any obligation accruing under
the preceding sentence, the employer shall, in addition to all
other payments required by this Section, be liable for a
penalty equal to 20% of the overdue obligation or $2,500,
whichever is greater, for each year or part thereof that
obligation is overdue. All or part of such a penalty may be
waived by the Commission for good cause shown.
The Chairman of the Illinois Workers' Compensation
Commission shall, annually, furnish to the Director of the
Department of Insurance a list of the amounts paid into the
Second Injury Fund and the Rate Adjustment Fund by each
insurance company on behalf of their insured employers. The
Director shall verify to the Chairman that the amounts paid by
each insurance company are accurate as best as the Director can
determine from the records available to the Director. The
Chairman shall verify that the amounts paid by each
self-insurer are accurate as best as the Chairman can determine

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from records available to the Chairman. The Chairman may
require each self-insurer to provide information concerning
the total compensation payments made upon which contributions
to the Second Injury Fund and the Rate Adjustment Fund are
predicated and any additional information establishing that
such payments have been made into these funds. Any deficiencies
in payments noted by the Director or Chairman shall be subject
to the penalty provisions of this Act.
The State Treasurer, or his duly authorized
representative, shall be named as a party to all proceedings in
all cases involving claim for the loss of, or the permanent and
complete loss of the use of one eye, one foot, one leg, one arm
or one hand.
The State Treasurer or his duly authorized agent shall have
the same rights as any other party to the proceeding, including
the right to petition for review of any award. The reasonable
expenses of litigation, such as medical examinations,
testimony, and transcript of evidence, incurred by the State
Treasurer or his duly authorized representative, shall be borne
by the Second Injury Fund.
If the award is not paid within 30 days after the date the
award has become final, the Commission shall proceed to take
judgment thereon in its own name as is provided for other
awards by paragraph (g) of Section 19 of this Act and take the
necessary steps to collect the award.
Any person, corporation or organization who has paid or

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become liable for the payment of burial expenses of the
deceased employee may in his or its own name institute
proceedings before the Commission for the collection thereof.
For the purpose of administration, receipts and
disbursements, the Special Fund provided for in paragraph (f)
of this Section shall be administered jointly with the Special
Fund provided for in Section 7, paragraph (f) of the Workers'
Occupational Diseases Act.
(g) All compensation, except for burial expenses provided
in this Section to be paid in case accident results in death,
shall be paid in installments equal to the percentage of the
average earnings as provided for in Section 8, paragraph (b) of
this Act, at the same intervals at which the wages or earnings
of the employees were paid. If this is not feasible, then the
installments shall be paid weekly. Such compensation may be
paid in a lump sum upon petition as provided in Section 9 of
this Act. However, in addition to the benefits provided by
Section 9 of this Act where compensation for death is payable
to the deceased's widow, widower or to the deceased's widow,
widower and one or more children, and where a partial lump sum
is applied for by such beneficiary or beneficiaries within 18
months after the deceased's death, the Commission may, in its
discretion, grant a partial lump sum of not to exceed 100 weeks
of the compensation capitalized at their present value upon the
basis of interest calculated at 3% per annum with annual rests,
upon a showing that such partial lump sum is for the best

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interest of such beneficiary or beneficiaries.
(h) In case the injured employee is under 16 years of age
at the time of the accident and is illegally employed, the
amount of compensation payable under paragraphs (a), (b), (c),
(d) and (f) of this Section shall be increased 50%.
Nothing herein contained repeals or amends the provisions
of the Child Labor Law relating to the employment of minors
under the age of 16 years.
However, where an employer has on file an employment
certificate issued pursuant to the Child Labor Law or work
permit issued pursuant to the Federal Fair Labor Standards Act,
as amended, or a birth certificate properly and duly issued,
such certificate, permit or birth certificate is conclusive
evidence as to the age of the injured minor employee for the
purposes of this Section only.
(i) Whenever the dependents of a deceased employee are
aliens not residing in the United States, Mexico or Canada, the
amount of compensation payable is limited to the beneficiaries
described in paragraphs (a), (b) and (c) of this Section and is
50% of the compensation provided in paragraphs (a), (b) and (c)
of this Section, except as otherwise provided by treaty.
In a case where any of the persons who would be entitled to
compensation is living at any place outside of the United
States, then payment shall be made to the personal
representative of the deceased employee. The distribution by
such personal representative to the persons entitled shall be

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made to such persons and in such manner as the Commission
orders.
(Source: P.A. 93-721, eff. 1-1-05; 94-277, eff. 7-20-05;
94-695, eff. 11-16-05.)
Section 99. Effective date. This Act takes effect upon
becoming law.