Statutory and filing procedure changes for discontinuance of dependency benefits
The following statutory changes concerning the discontinuance of dependency benefits became effective Aug. 1.
- Minnesota Statutes 176.111, subdivision 16, Cessation of compensation -- Except as provided in this chapter, compensation ceases upon the death or marriage of any dependent. Cessation of benefits requires notice pursuant to subdivision 23.
- Minnesota Statutes 176.111, subd. 23 -- If an employer intends to discontinue dependency benefits of any individual identified as a dependent in this section, the employer must file with the commissioner, as required under section 176.231, subdivision 6, paragraphs (a) and (e), and serve on the dependent whose benefits are being discontinued written notice within 14 calendar days of discontinuance. The notice shall state the name of the individual whose dependency benefits are being discontinued, the date the individual's benefits will be discontinued, and a statement of facts clearly indicating the reason the individual will no longer receive dependency benefits and is no longer considered a dependent under this section. Any document in the employer's possession which is relied on for the discontinuance shall be attached to the notice. Failure to file this form as required may result in a penalty under section 176.231, subdivision 10.
Form revised to accommodate statutory changes
To reflect these changes, the Minnesota Department of Labor and Industry (DLI) has revised the Notice of Discontinuance of Workers' Compensation Dependency Benefits (NOD of DEP) form, which now includes sections for:
- the name of the dependent whose benefits are being discontinued;
- the date their dependent status will cease;
- the legal reason for discontinuance of benefits;
- advisement of the status of any future dependency benefit payments to be made on the claim; and
- the calculations and payment details made on the claim.
Filing procedure changes
Insurers should now:
- complete the new form for each individual dependent within 14 calendar-days of ceasing their benefits;
- provide the legal basis for ceasing benefits and attach all supporting documents to the form;
- print the completed form and serve it on that dependent (and guardian and/or attorney if applicable);
- upload the completed form and supporting attachments directly into the Work Comp Campus file as a PDF;
- if benefits will continue to be paid on the claim, file a new dependency webform into the Campus file to provide notice of the remaining dependents and their status details, changes in allocation percentages, changes in Social Security offsets, etc; and
- file the appropriate electronic data interchange (EDI) transmission to electronically provide the total payments made on the claim to the current date -- sub-annual (SA) if future benefits remain the same, change in amount (CA) if future benefits will be reduced or suspension (SX) if all benefits cease in entirety.
Note: This revised NOD of DEP form replaces the requirement of filing a discontinuance webform.
This revised form is available on the Work comp: Forms webpage and directly at dli.mn.gov/sites/default/files/pdf/db02.pdf.
For questions about the revised NOD of DEP form or notice requirements, contact the Workers' Compensation Division Help Desk at helpdesk.dli@state.mn.us, 651-284-5005 (press 3) or 800-342-5354 (press 3).
|