SB 219 Maryland Senate · 2025 Regular Session

Uninsured Employers' Fund - Assessments and Special Monitor

SB 219 increases the additional assessment rate on workers' compensation awards and settlements from 1% to 2% when the Uninsured Employers' Fund reserves are insufficient to cover anticipated losses. It clarifies that certain medical benefits in settlements - over $50,000 paid directly to an insurer via annuity or any amount paid to a third-party administrator without reversion to the employee - are excluded from the assessment. The bill also holds corporate officers or LLC members personally liable for unpaid assessments if they knowingly failed to secure workers' compensation insurance. This directly affects uninsured employers, their insurers, and the Uninsured Employers' Fund, with changes taking effect July 1, 2025.
Bill status vetoed 4 of 5 stages cleared
Introduction
Oct 2024
Committee Review
Apr 2025
Senate Passage
Apr 2025
House of Delegates Passage
Apr 2025
Vetoed
May 2025
Introduced Oct 7, 2024 Vetoed May 16, 2025
Maddy AI version diff · 1 comparison

What changed between versions

First - Uninsured Employers' Fund - Additional Assessment on Awards and Settlements - Amount Third - Uninsured Employers' Fund - Assessments and Special Monitor · 6 edits
MODERATE
This bill expands the Uninsured Employers' Fund by adding a special monitor to oversee its finances and adjusting assessment thresholds. It also extends liability for unpaid assessments to LLC members and changes when assessments are suspended based on fund balance levels.
Scope change
The bill now covers both corporations and limited liability companies for officer/member liability, and adds a new special monitor role to oversee the Fund's financial practices.
REQUIREMENT

Added a special monitor to assess the financial condition of the Uninsured Employers' Fund, including reserve setting and third-party administrator practices.

FISCAL

Changed assessment suspension thresholds from $5 million/$3 million to $10 million/$8 million for the Fund balance.

Adjusted additional assessment percentage from 1% to 1.5% when Fund reserves are inadequate.

ENFORCEMENT

Extended joint and several liability for unpaid assessments to LLC members with general management responsibility, previously only applied to corporate officers.

ELIGIBILITY

Modified medical benefit assessment exclusions to apply to different payment scenarios, including third-party administrators with no reversionary interest to employees.

TIMELINE

Set a specific end date for the special monitor's duties on or before June 30, 2026, unless extended by agreement.

Floor votes · Senate Feb 27, 2025 · House of Delegates Mar 24, 2025

How they voted

3412
Passed
Total votes 46
Feb 27, 2025
D Democratic33
33 Yea
100% Yea
R Republican13
1 Yea 12 Nay
92% Nay
Vote distribution
All Yea All Nay Mixed No data
Full legislative history

Actions timeline

Total actions
16
Key actions
9
Committee
6
May 16, 2025
Vetoed
Vetoed by the Governor (Policy)
executive
Apr 7, 2025
Upper · Passed
Returned Passed
upper
Apr 7, 2025
Lower · Passed
Third Reading Passed
lower
Apr 2, 2025
Lower · Passed
Favorable Adopted Second Reading Passed
lower
Apr 1, 2025
Lower · Passed
Favorable Report by Economic Matters
lower
Mar 24, 2025
House Of Delegates · Passed
House of Delegates Vote: pass (99-38-2)
house of delegates
Mar 15, 2025
Committee
Referred Economic Matters
lower
Mar 14, 2025
Upper · Passed
Third Reading Passed
upper
Mar 13, 2025
Upper · Passed
Favorable with Amendments {
upper
Mar 12, 2025
Upper · Passed
Favorable with Amendments Report by Finance
upper
Feb 27, 2025
Senate · Passed
Senate Vote: pass (34-12)
senate
Jan 8, 2025
Committee
First Reading Finance
upper
Oct 7, 2024
Introduced
Pre-filed
upper
0 primary · 0 co-sponsors

Sponsors

No sponsor information available.