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House Committee on Workers' Compensation, Select, Interim - 69th R.S. (1985)

Committee Members
Richard A. Smith, Chair
Lloyd Criss, Vice Chair
Al Granoff
Clint Hackney
Bob Leonard, Jr.
Ashley Smith
Tom C. Waldrop
Roy Evans
Henry Lewis
George Petrovich
Robert Sheehy
Tom Webb
Charges
• Conduct a state-by-state survey of the premium rate levels and the workers' compensation benefits provided to determine if Texas premiums and benefit levels are consistent with those found in other states and, where significant variances occur, to determine the underlying causes for such variances. Underlying causes for study by the committee should include, but not be limited to, differences in the rights and duties of the employer, employee and the insurers, and differences between common law and statutory methods of recovery.
• Study practices and procedures of the Industrial Accident board including, but not limited to, cost containment efforts, fees and costs related to professional services, claims settlement practices and determination of indemnity benefits. Examine similar boards in other states to determine if Texas procedures should be changed or updated. Recommend legislative changes that will update and streamline board procedures and that will benefit both employee and employers in Texas.
• Review the rate formulas used to establish the manual rates for workers' compensation insurance focusing on the inclusion of trend factors, investment income, production expense and taxes in the rating formula.
• Study the operation of the assigned risk pool including the growth in number of insured and total premium and the profitability or unprofitability of the pool.
• Study existing regulation of the workers' compensation insurance system in Texas and to analyze the potential benefits of other insurance systems, including but not limited to, self insurance, competition rating and alternative coverages.

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