The American Insurance Association (AIA) reported that legislation allowing undisputed workers’ compensation claims to be handled out-of-state was signed recently by Governor Parris Glendening (D).
SB 592, which was passed earlier this year by the Maryland General Assembly, will abolish an outdated rule requiring workers’ compensation insurers to maintain a claims office in the state.
The AIA stated that it is important to note that under the new law, only undisputed claims would be allowed to be handled by offices outside of Maryland. All disputed claims will continue to be handled locally by a “competent individual,” which can be an attorney, a claims adjuster or other individual.
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