S 172: Increases short-term disability benefits.

  
  STATE OF NEW YORK ________________________________________________________________________ 172 2025-2026 Regular Sessions  IN SENATE (Prefiled) January 8, 2025 ___________ Introduced by Sens. RAMOS, COONEY, WEBB -- read twice and ordered print- ed, and when printed to be committed to the Committee on Labor AN ACT to amend the workers' compensation law and the insurance law, in relation to increasing short-term disability benefits The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Section 200 of the workers' compensation law, as amended by 2 section 1 of part SS of chapter 54 of the laws of 2016, is amended to 3 read as follows: 4 § 200. Short title. This article shall be known and may be cited as 5 the "disability [benefits law] and [the] paid family leave benefits 6 law." 7 § 2. Subdivisions 14, 15 and 22 of section 201 of the workers' compen- 8 sation law, subdivision 14 as amended and subdivisions 15 and 22 as 9 added by section 2 of part SS of chapter 54 of the laws of 2016, are 10 amended to read as follows: 11 14. "A day of disability" means any day on which the employee was 12 prevented from performing work because of disability[, including any day 13 which the employee uses for family leave,] and for which the employee 14 has not received [his or her] the employee's regular remuneration. 15 15. "Family leave" shall mean any leave taken by an employee from 16 work: (a) to participate in providing care, including physical or 17 psychological care, for a family member of the employee made necessary 18 by a serious health condition of the family member; or (b) to bond with 19 the employee's child during the first twelve months after the child's 20 birth, or the first twelve months after the placement of the child for 21 adoption or foster care with the employee or on or after January first, 22 two thousand twenty-six until January first, two thousand thirty, for 23 the six weeks immediately following a stillbirth; or (c) because of any 24 qualifying exigency as interpreted under the family and medical leave EXPLANATION--Matter in italics (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD00302-01-5 
 S. 172 2 1 act, 29 U.S.C.S § 2612(a)(1)(e) and 29 C.F.R. S.825.126[(a)(1)-(8)], 2 arising out of the fact that the spouse, domestic partner, child, or 3 parent of the employee is on active duty (or has been notified of an 4 impending call or order to active duty) in the armed forces of the 5 United States. 6 22. "Health care provider" shall mean for the purpose of [family 7 leave] this article, a person licensed under article one hundred thir- 8 ty-one, one hundred thirty-one-B, one hundred thirty-two, one hundred 9 thirty-three, one hundred thirty-six, one hundred thirty-nine, one 10 hundred forty-one, one hundred forty-three, one hundred forty-four, one 11 hundred fifty-three, one hundred fifty-four, one hundred fifty-six or 12 one hundred fifty-nine of the education law or a person licensed under 13 the public health law, article one hundred forty of the education law or 14 article one hundred sixty-three of the education law. 15 § 3. Section 203-a of the workers' compensation law, as added by 16 section 4 of part SS of chapter 54 of the laws of 2016, is amended to 17 read as follows: 18 § 203-a. Retaliatory action prohibited for [family] leave. 1. The 19 provisions of section one hundred twenty of this chapter and section two 20 hundred forty-one of this article shall be applicable to family and 21 disability leave. 22 2. Nothing in this section shall be deemed to diminish the rights, 23 privileges, or remedies of any employee under any collective bargaining 24 agreement or employment contract. 25 § 4. Section 203-b of the workers' compensation law, as added by 26 section 4 of part SS of chapter 54 of the laws of 2016, is amended to 27 read as follows: 28 § 203-b. Reinstatement following [family] leave. Any eligible employee 29 of a covered employer who takes leave under this article shall be enti- 30 tled, on return from such leave, to be restored by the employer to the 31 position of employment held by the employee when the leave commenced, or 32 to be restored to a comparable position with comparable employment bene- 33 fits, pay and other terms and conditions of employment. The taking of 34 family or disability leave shall not result in the loss of any employ- 35 ment benefit accrued prior to the date on which the leave commenced. 36 Nothing in this section shall be construed to entitle any restored 37 employee to the accrual of any seniority or employment benefits during 38 any period of leave, or any right, benefit or position to which the 39 employee would have been entitled had the employee not taken the leave. 40 § 5. Section 203-c of the workers' compensation law, as added by 41 section 4 of part SS of chapter 54 of the laws of 2016, is amended to 42 read as follows: 43 § 203-c. Health insurance during [family] leave. In accordance with 44 the Family and Medical Leave Act (29 U.S.C. §§ 2601-2654), during any 45 period of family or disability leave the employer shall maintain any 46 existing health benefits of the employee in force for the duration of 47 such leave as if the employee had continued to work from the date [he or 48 she] the employee commenced family or disability leave until the date 49 [he or she] the employee returns to employment. 50 § 6. Section 204 of the workers' compensation law, as amended by 51 section 5 of part SS of chapter 54 of the laws of 2016, is amended to 52 read as follows: 53 § 204. Disability and family leave during employment. 1. Disability 54 benefits shall be payable to an eligible employee for disabilities, 55 beginning with the eighth day of disability and thereafter during the 56 continuance of disability, subject to the limitations as to maximum and 
 S. 172 3 1 minimum amounts and duration and other conditions and limitations in 2 this section and in sections two hundred five and two hundred six of 3 this article. Family leave benefits shall be payable to an eligible 4 employee for the first full day when family leave is required and there- 5 after during the continuance of the need for family leave, subject to 6 the limitations as to maximum and minimum amounts and duration and other 7 conditions and limitations in this section and in sections two hundred 8 five and two hundred six of this article. Successive periods of disabil- 9 ity or family leave caused by the same or related injury or sickness or 10 qualifying event shall be deemed a single period of disability or family 11 leave only if separated by less than three months. 12 2. (a) The weekly benefit for family leave that occurs (i) on or after 13 January first, two thousand eighteen shall not exceed eight weeks during 14 any fifty-two week calendar period and shall be fifty percent of the 15 employee's average weekly wage but shall not exceed fifty percent of the 16 state average weekly wage, (ii) on or after January first, two thousand 17 nineteen shall not exceed ten weeks during any fifty-two week calendar 18 period and shall be fifty-five percent of the employee's average weekly 19 wage but shall not exceed fifty-five percent of the state average weekly 20 wage, (iii) on or after January first, two thousand twenty shall not 21 exceed ten weeks during any fifty-two week calendar period and shall be 22 sixty percent of the employee's average weekly wage but shall not exceed 23 sixty percent of the state average weekly wage, and (iv) on or after 24 January first of each succeeding year, shall not exceed twelve weeks 25 during any fifty-two week calendar period and shall be sixty-seven 26 percent of the employee's average weekly wage but shall not exceed 27 sixty-seven percent of the New York state average weekly wage in effect. 28 The superintendent of financial services shall have discretion to delay 29 the increases in the family leave benefit level provided in subpara- 30 graphs (ii), (iii), and (iv) of this paragraph by one or more calendar 31 years. In determining whether to delay the increase in the family leave 32 benefit for any year, the superintendent of financial services shall 33 consider: (1) the current cost to employees of the family leave benefit 34 and any expected change in the cost after the benefit increase; (2) the 35 current number of insurers issuing insurance policies with a family 36 leave benefit and any expected change in the number of insurers issuing 37 such policies after the benefit increase; (3) the impact of the benefit 38 increase on employers' business and the overall stability of the program 39 to the extent that information is readily available; (4) the impact of 40 the benefit increase on the financial stability of the disability and 41 family leave insurance market and carriers; and (5) any additional 42 factors that the superintendent of financial services deems relevant. If 43 the superintendent of financial services delays the increase in the 44 family leave benefit level for one or more calendar years, the family 45 leave benefit level that shall take effect immediately following the 46 delay shall be the same benefit level that would have taken effect but 47 for the delay. The weekly benefits for family leave that occurs on or 48 after January first, two thousand eighteen shall not be less than one 49 hundred dollars per week except that if the employee's wages at the time 50 of family leave are less than one hundred dollars per week, the employee 51 shall receive [his or her] the employee's full wages. Benefits may be 52 payable to employees for paid family leave taken intermittently or for 53 less than a full work week in increments of one full day or one fifth of 54 the weekly benefit. 55 (b) The weekly benefit which the disabled employee is entitled to 56 receive for the first twelve weeks of disability commencing: (i) on or 
 S. 172 4 1 after January first, two thousand twenty-seven shall be fifty-five 2 percent of the employee's average weekly wage but shall not exceed fifty 3 percent of the state average weekly wage; (ii) on or after January 4 first, two thousand twenty-eight shall be sixty percent of the employ- 5 ee's average weekly wage but shall not exceed fifty-five percent of the 6 state average weekly wage; (iii) on or after January first, two thousand 7 twenty-nine shall be sixty-seven percent of the employee's weekly aver- 8 age wage but shall not exceed sixty percent of the state average weekly 9 wage; and (iv) on or after January first of each succeeding year, shall 10 be sixty-seven percent of the employee's average weekly wage but shall 11 not exceed sixty-seven percent of the state average weekly wage. The 12 weekly benefit which the disabled employee is entitled to receive for 13 the periods of disability after the twelfth week of disability and 14 through the twenty-sixth week of disability on or after January first, 15 two thousand twenty-seven and each succeeding year shall be thirty 16 percent of the employee's average weekly wage but shall not exceed thir- 17 ty percent of the state average weekly wage. The chair of the workers' 18 compensation board, in consultation with the superintendent of financial 19 services, shall have discretion to increase the benefit level for the 20 period of disability after the twelfth week of disability through the 21 twenty-sixth week of disability, provided that such benefit shall not 22 exceed sixty-seven percent of the state average weekly wage. In deter- 23 mining whether to increase the disability benefit for any year, the 24 chair of the workers' compensation board in consultation with the super- 25 intendent of financial services shall consider factors including but not 26 limited to utilization of the current benefit, the expected utilization 27 of any increase, the need for a benefit increase, the current contrib- 28 ution cost to employees and employers and the expected cost after any 29 such benefit increase; the current number of insurers issuing insurance 30 policies with a disability benefit and any expected change in the 31 number of insurers issuing such policies after the benefit increase; 32 and any additional factors that the chair of the workers' compensation 33 board and the superintendent of financial services deems relevant. The 34 weekly benefit which the disabled employee is entitled to receive for 35 disability leave that occurs on or after January first, two thousand 36 twenty-seven shall not be less than one hundred dollars per week except 37 that if the employee's wages at the time of disability leave are less 38 than one hundred dollars per week, the employee shall receive the 39 employee's full wages. The weekly benefit which the disabled employee is 40 entitled to receive for disability commencing on or after May first, 41 nineteen hundred eighty-nine and prior to January first, two thousand 42 twenty-seven shall be one-half of the employee's weekly wage, but in no 43 case shall such benefit exceed one hundred seventy dollars; except that 44 if the employee's average weekly wage is less than twenty dollars, the 45 benefit shall be such average weekly wage. The weekly benefit which the 46 disabled employee is entitled to receive for disability commencing on or 47 after July first, nineteen hundred eighty-four shall be one-half of the 48 employee's weekly wage, but in no case shall such benefit exceed one 49 hundred forty-five dollars; except that if the employee's average weekly 50 wage is less than twenty dollars, the benefit shall be such average 51 weekly wage. The weekly benefit which the disabled employee is entitled 52 to receive for disability commencing on or after July first, nineteen 53 hundred eighty-three and prior to July first, nineteen hundred eighty- 54 four shall be one-half of the employee's average weekly wage, but in no 55 case shall such benefit exceed one hundred thirty-five dollars nor be 56 less than twenty dollars; except that if the employee's average weekly 
 S. 172 5 1 wage is less than twenty dollars the benefit shall be such average week- 2 ly wage. The weekly benefit which the disabled employee is entitled to 3 receive for disability commencing on or after July first, nineteen 4 hundred seventy-four, and prior to July first, nineteen hundred eighty- 5 three, shall be one-half of the employee's average weekly wage, but in 6 no case shall such benefit exceed ninety-five dollars nor be less than 7 twenty dollars; except that if the employee's average weekly wage is 8 less than twenty dollars, the benefit shall be such average weekly wage. 9 The weekly benefit which the disabled employee is entitled to receive 10 for disability commencing on or after July first, nineteen hundred 11 seventy and prior to July first, nineteen hundred seventy-four shall be 12 one-half of the employee's average weekly wage, but in no case shall 13 such benefit exceed seventy-five dollars nor be less than twenty 14 dollars; except that if the employee's average weekly wage is less than 15 twenty dollars the benefit shall be such average weekly wage. [For any 16 period of disability less than a full week, the benefits payable shall 17 be calculated by dividing the weekly benefit by the number of the 18 employee's normal work days per week and multiplying the quotient by the 19 number of normal work days in such period of disability.] Benefits may 20 be payable to employees for disability leave taken intermittently or for 21 less than a full work week in increments of one full day or one-fifth of 22 the weekly benefit. The weekly benefit for a disabled employee who is 23 concurrently eligible for benefits in the employment of more than one 24 covered employer shall, within the maximum and minimum herein provided, 25 be one-half of the total of the employee's average weekly wages received 26 from all such covered employers, and shall be allocated in the propor- 27 tion of [their] the employee's respective average weekly wage payments. 28 (c) Provided that the provisions of paragraph (b) of this subdivision 29 concerning benefits on or after January first, two thousand twenty-seven 30 and subparagraphs (i) and (ii) of paragraph (a) of subdivision three of 31 section two hundred nine of this article may be waived by a covered 32 employer subject to a collective bargaining agreement with a bona fide 33 labor organization in effect on January first, two thousand twenty-seven 34 for employees subject to such collective bargaining agreement for a 35 disability commencing between January first, two thousand twenty-seven 36 and until January first, two thousand thirty; and provided that for such 37 waiver to be valid, it shall explicitly reference this section and be 38 agreed to by the bona fide labor organization. Nothing herein shall 39 prevent a collective bargaining agreement from providing temporary disa- 40 bility benefits greater than the benefits required herein. 41 § 7. Subdivision 2 of section 206 of the workers' compensation law, as 42 amended by section 7 of part SS of chapter 54 of the laws of 2016, is 43 amended to read as follows: 44 2. If an employee who is eligible for disability benefits under 45 section two hundred three or two hundred seven of this article is disa- 46 bled and has claimed or subsequently claims workers' compensation bene- 47 fits under this chapter or benefits under the volunteer firefighters' 48 benefit law or the volunteer ambulance workers' benefit law, and such 49 claim is controverted on the ground that the employee's disability was 50 not caused by an accident that arose out of and in the course of [his] 51 the employee's employment or by an occupational disease, or by an injury 52 in line of duty as a volunteer firefighter or volunteer ambulance work- 53 er, the employee shall be entitled in the first instance to receive 54 benefits under this article for [his or her] the employee's disability. 55 If benefits have been paid under this article in respect to a disability 56 alleged to have arisen out of and in the course of the employment or by 
 S. 172 6 1 reason of an occupational disease, or in line of duty as a volunteer 2 firefighter or a volunteer ambulance worker, the employer or carrier or 3 the chair making such payment may, at any time before award of workers' 4 compensation benefits, or volunteer firefighters' benefits or volunteer 5 ambulance workers' benefits, is made, file with the board a claim for 6 reimbursement out of the proceeds of such award to the employee for the 7 period for which disability benefits were paid to the employee under 8 this article, and shall have a lien against the full award for 9 reimbursement, notwithstanding the provisions of section thirty-three of 10 this chapter or section twenty-three of the volunteer firefighters' 11 benefit law or section twenty-three of the volunteer ambulance workers' 12 benefit law provided the insurance carrier liable for payment of the 13 award receives, before such award is made, a copy of the claim for 14 reimbursement from the employer, carrier or chair who paid disability 15 benefits, or provided the board's decision and award directs such 16 reimbursement therefrom. 17 § 8. Paragraph (a) of subdivision 3 of section 209 of the workers' 18 compensation law, as amended by section 10 of part SS of chapter 54 of 19 the laws of 2016, is amended to read as follows: 20 (a) Disability benefits. (i) The contribution of each such employee to 21 the cost of disability benefits provided by this article shall be one- 22 half of one per centum of the employee's wages paid to [him or her] the 23 employee on and after July first, nineteen hundred fifty, but not in 24 excess of sixty cents per week. 25 (ii) Beginning January first, two thousand twenty-seven, the maximum 26 employee contribution that a covered employer is authorized to collect 27 from each employee for the cost of disability benefits provided by this 28 article shall be one-half of one per centum of the employee's wages but 29 shall not exceed two dollars and twenty cents per week provided, howev- 30 er, that the employee contribution shall be pursuant to subparagraph (i) 31 of this paragraph where such employee is covered under paragraph (c) of 32 subdivision two of section two hundred four of this article. 33 (iii) Beginning January first, two thousand thirty, the maximum 34 employee contribution that a covered employer is authorized to collect 35 from each employee for the cost of disability benefits provided by this 36 article shall be one-half of one per centum of the employee's wages, but 37 shall not exceed forty percent of the average of the combination of all 38 employee and employer contributions to disability benefits provided 39 pursuant to paragraph (b) of subdivision two of section two hundred four 40 of this article during the prior calendar year, as determined annually 41 by the superintendent of financial services pursuant to subsection (n) 42 of section four thousand two hundred thirty-five of the insurance law. 43 A self-insurer shall submit reports to the superintendent of financial 44 services for the purpose of determining forty percent of the average of 45 the combination of all employee and employer contributions to disability 46 benefits provided pursuant to paragraph (b) of subdivision two of 47 section two hundred four of this article during the prior calendar year, 48 pursuant to subsection (n) of section four thousand two hundred thirty- 49 five of the insurance law. 50 § 9. The opening paragraph of section 211 of the workers' compensation 51 law, as amended by section 12 of part SS of chapter 54 of the laws of 52 2016, is amended to read as follows: 53 A covered employer, unless provided with a waiver pursuant to section 54 204(2)(c), shall, with [his or her] such employer's own contributions 55 and the contributions of [his] such employer's employees, provide disa- 56 bility and after January first, two thousand eighteen, family leave 
 S. 172 7 1 benefits to [his or her] such employer's employees in one or more of the 2 following ways: 3 § 10. The opening paragraph and subdivision 1 of section 214 of the 4 workers' compensation law, as amended by section 26 of part GG of chap- 5 ter 57 of the laws of 2013, are amended to read as follows: 6 There is hereby created a fund which shall be known as the special 7 fund for disability benefits to provide for the payment of [disability] 8 benefits under sections two hundred seven, two hundred thirteen and 9 attendance fees under section two hundred thirty-two of this article. 10 1. As promptly as practicable after April first, in each year, the 11 [chairman] chair shall ascertain the condition of the fund, and if as of 12 any such date the net assets of the fund shall be one million dollars or 13 more below the sum of twelve million dollars, the [chairman] chair shall 14 assess and collect an amount sufficient to restore the fund to an amount 15 equal to twelve million dollars.[.] Such assessment shall be included in 16 the assessment rate established pursuant to subdivision two of section 17 one hundred fifty-one of this chapter. Such assessments shall be depos- 18 ited with the commissioner of taxation and finance and transferred to 19 the benefit of such fund upon payment of debt service, if any, pursuant 20 to section one hundred fifty-one of this chapter. 21 § 11. Subdivision 1 of section 217 of the workers' compensation law, 22 as amended by section 16 of part SS of chapter 54 of the laws of 2016, 23 is amended to read as follows: 24 1. Written notice and proof of disability or proof of need for family 25 leave shall be furnished to the employer by or on behalf of the employee 26 claiming benefits or, in the case of a claimant under section two 27 hundred seven of this article, to the chair, within thirty days after 28 commencement of the period of disability. Additional proof shall be 29 furnished thereafter from time to time as the employer or carrier or 30 chair may require but not more often than once each week. Such proof 31 shall include a statement of disability by the employee's [attending 32 physician or attending podiatrist or attending chiropractor or attending 33 dentist or attending psychologist or attending certified nurse midwife 34 or family leave care recipient's health care provider, or in the case of 35 an employee who adheres to the faith or teachings of any church or 36 denomination, and who in accordance with its creed, tenets or principles 37 depends for healing upon prayer through spiritual means alone in the 38 practice of religion, by an accredited practitioner,] health care 39 provider containing facts and opinions as to such disability in compli- 40 ance with regulations of the chair. Failure to furnish notice or proof 41 within the time and in the manner above provided shall not invalidate 42 the claim but no benefits shall be required to be paid for any period 43 more than two weeks prior to the date on which the required proof is 44 furnished unless it shall be shown to the satisfaction of the chair not 45 to have been reasonably possible to furnish such notice or proof and 46 that such notice or proof was furnished as soon as possible; provided, 47 however, that no benefits shall be paid unless the required proof [of 48 disability] is furnished within the period of actual disability or fami- 49 ly leave that does not exceed the statutory maximum period permitted 50 under section two hundred four of this article. No limitation of time 51 provided in this section shall run as against any disabled employee who 52 is mentally incompetent, or physically incapable of providing such 53 notice as a result of a serious medical condition, or a minor so long as 54 such person has no guardian of the person and/or property. 
 S. 172 8 1 § 12. Section 218 of the workers' compensation law, as added by chap- 2 ter 600 of the laws of 1949, subdivision 2 as amended by chapter 809 of 3 the laws of 1985, is amended to read as follows: 4 § 218. [Disability benefit] Benefit rights inalienable. 1. Any agree- 5 ment by an employee to waive [his] the employee's rights under this 6 article shall be void. 7 2. Disability or family leave benefits payable under this article 8 shall not be assigned or released, except as provided in this article, 9 and shall be exempt from all claims of creditors and from levy, 10 execution and attachment or other remedy for recovery or collection of a 11 debt, which exemption may not be waived provided, however, that such 12 benefits shall be subject to an income execution or order for support 13 enforcement pursuant to section fifty-two hundred forty-one or fifty-two 14 hundred forty-two of the civil practice law and rules. 15 § 13. Section 221 of the workers' compensation law, as amended by 16 section 19 of part SS of chapter 54 of the laws of 2016, is amended to 17 read as follows: 18 § 221. Determination of contested claims for disability and family 19 leave benefits. In accordance with regulations adopted by the chair, 20 within twenty-six weeks of written notice of rejection of claim, the 21 employee may file with the chair a notice that [his or her] the employ- 22 ee's claim for disability or family leave benefits has not been paid, 23 and the employee shall submit proof of disability or entitlement to 24 family leave and of [his or her] the employee's employment, wages and 25 other facts reasonably necessary for determination of the employee's 26 right to such benefits. Failure to file such notice within the time 27 provided, may be excused if it can be shown not to have been reasonably 28 possible to furnish such notice and that such notice was furnished as 29 soon as possible. On demand the employer or carrier shall forthwith 30 deliver to the board the original or a true copy of the health care 31 provider's report, wage and employment data and all other documentation 32 in the possession of the employer or carrier with respect to such claim. 33 The chair or designee, shall have full power and authority to deter- 34 mine all issues in relation to every such claim for disability benefits 35 required or provided under this article, and shall file its decision in 36 the office of the [chairman] chair. Upon such filing, the [chairman] 37 chair shall send to the parties a copy of the decision. Either party may 38 present evidence and be represented by counsel at any hearing on such 39 claim. The decision of the board shall be final as to all questions of 40 fact and, except as provided in section twenty-three of this chapter, as 41 to all questions of law. Every decision shall be complied with in 42 accordance with its terms within ten days thereafter except as permitted 43 by law upon the filing of a request for review, and any payments due 44 under such decision shall draw simple interest from thirty days after 45 the making thereof at the rate provided in section five thousand four of 46 the civil practice law and rules. The chair shall adopt rules and regu- 47 lations to carry out the provisions of this article including but not 48 limited to resolution of contested claims and requests for review there- 49 of, and payment of costs for resolution of disputed claims by carriers. 50 Any designated process shall afford the parties the opportunity to pres- 51 ent evidence and to be represented by counsel in any such proceeding. 52 The chair shall have the authority to provide for alternative dispute 53 resolution procedures for claims arising under disability and family 54 leave, including but not limited to referral and submission of disputed 55 claims to a neutral arbitrator under the auspices of an alternative 56 dispute resolution association pursuant to article seventy-five of the 
 S. 172 9 1 civil practice law and rules. Neutral arbitrator shall mean an arbitra- 2 tor who does not have a material interest in the outcome of the arbi- 3 tration proceeding or an existing and substantial relationship, includ- 4 ing but not limited to pecuniary interests, with a party, counsel or 5 representative of a party. Any determination made by alternative dispute 6 resolution shall not be reviewable by the board and the venue for any 7 appeal shall be to a court of competent jurisdiction. 8 § 14. Section 228 of the workers' compensation law, as added by 9 section 27 of part GG of chapter 57 of the laws of 2013, is amended to 10 read as follows: 11 § 228. Administrative expenses. 1. The estimated annual expenses 12 necessary for the workers' compensation board to administer the 13 provisions of the disability and paid family leave benefits law shall be 14 borne by all affected employers and included as part of the assessment 15 rate generated pursuant to subdivision two of section one hundred 16 fifty-one of this chapter. 17 2. Annually, as soon as practicable after the first day of April, the 18 chair and department of audit and control shall ascertain the total 19 amount of actual expenses. 20 § 15. Subsection (n) of section 4235 of the insurance law is amended 21 by adding a new paragraph 4 to read as follows: 22 (4)(A) The superintendent shall establish by September first of each 23 year the maximum employee contribution that a covered employer, as 24 defined in section two hundred two of the workers' compensation law, is 25 authorized to collect from each employee for the cost of disability 26 benefits provided pursuant to article nine of the workers' compensation 27 law through a group accident and health insurance policy or through a 28 self-funded employer for its employees. Beginning January first, two 29 thousand twenty-seven, the maximum employee contribution amount shall be 30 two dollars and twenty cents per week, and beginning January first, two 31 thousand thirty, the maximum employee contribution shall be one-half of 32 one percent of the employee's wages but shall not exceed forty percent 33 of the average of the combination of all employee and employer contrib- 34 utions to disability benefits provided pursuant to paragraph (b) of 35 subdivision two of section two hundred four of the workers' compensation 36 law during the prior calendar year, which the superintendent shall 37 determine and publish on the department's website. 38 (B) A self-funded employer shall submit reports to the superintendent 39 for the purpose of determining forty percent of the average of the 40 combination of all employee and employer contributions to disability 41 benefits provided pursuant to paragraph (b) of subdivision two of 42 section two hundred four of the workers' compensation law. A self-fund- 43 ed employer shall submit a report to the superintendent by July first, 44 two thousand twenty-six that sets forth employee and employer contrib- 45 utions to disability benefits provided pursuant to paragraph (b) of 46 subdivision two of section two hundred four of the workers' compensation 47 law for the year ending two thousand twenty-five, in a format determined 48 by the superintendent. Beginning April first, two thousand twenty-sev- 49 en, and annually thereafter, a self-funded employer shall submit a 50 report to the superintendent that sets forth employee and employer 51 contributions to disability benefits provided pursuant to paragraph (b) 52 of subdivision two of section two hundred four of the workers' compen- 53 sation law for the prior calendar year, in a format determined by the 54 superintendent. 55 § 16. Section 2605 of the insurance law is amended to read as follows: 
 S. 172 10 1 § 2605. Penalty for violating workers' compensation law. The super- 2 intendent may impose a penalty not to exceed twenty-five hundred dollars 3 per violation upon any insurer required to be licensed under the 4 provisions of this chapter, if, after notice to and a hearing of such 5 insurer, [he] the superintendent finds it has unreasonably failed to 6 comply with the workers' compensation law. 7 § 17. This act shall take effect immediately and shall apply to all 8 policies issued, renewed, modified, altered, or amended on or after 9 January 1, 2027.