A.
Policy. Utah's workers' compensation system provides disability compensation to
injured workers as a partial replacement for lost wages. These periodic
payments allow injured workers to provide for the ongoing necessities of
life--food, shelter and clothing--not only for themselves, but for their
dependents. These periodic payments also prevent injured workers from becoming
charges on public welfare or private charity.
The 2007 Utah Legislature reaffirmed and strengthened the
foregoing policy of the workers' compensation system by enacting Senate Bill
109, "Transfers of Structured Settlements." Senate Bill 109 amended Section
34A-2-422
of the Utah Workers Compensation Act to specifically prohibit any transfer of
workers' compensation payment rights unless the proposed transfer is first
submitted to the Utah Labor Commission and approved by the Commission.
B. Scope. This rule establishes
the procedural and substantive requirements for Commission approval of any
request for transfer of workers' compensation payment rights. The Commission
will not approve any transfer of workers' compensation payment rights in the
absence of strict compliance with all procedural and substantive requirements
of the Utah Workers' Compensation Act and this rule.
C. Statutory authority. The Commission enacts
this rule pursuant to Subsection
34A-1-104(1)
and Section
34A-1-304
of the Utah Labor Commission Act, Section
34A-2-422
of the Utah Workers' Compensation Act, and Subsection
63G-3-201(2)
of the Utah Administrative Rulemaking Act.
