October 24, 2024 – Sen. Tracy Pennycuick (R-24) and Sen. Frank Farley (R-6) propose to move more benefit payments from paper checks to direct deposit. A bill that would make the workers’ compensation system more efficient received final legislative approval. Tuesday.
Senate Bill 1232 would allow individuals eligible for compensation to request funds to be deposited into an account of their choice. It would also mean that insurance companies would no longer have to offer paper checks as a payment option, as long as individuals have bank accounts that allow direct deposit.
More than 95% of workers receive their paychecks via direct deposit.
“This legislation will help workers and reduce costs,” Pennycuick said. “Injured workers will be able to receive benefits faster and more conveniently, and insurance companies will be able to reduce processing time and shipping costs.”
“I am pleased to work with Senator Pennycuick on this bill that modernizes the workers’ compensation system, benefiting both injured workers and insurance companies across the commonwealth,” said Farley.
This reform was recommended unanimously by the Workers’ Compensation Advisory Committee.
Senate Bill 1232 was amended in the House and received final approval in the Senate this week.
