KRS 342.352: Voluntary programs for integrated management of employer's worker

compensation and group health insurance claims -- Twenty-four hour

coverage.

(1) The commissioner may establish one (1) or more programs for interested employers

of integrated management of an employer's workers' compensation and group health

insurance claims by an insurer authorized to do business in the Commonwealth and

may promulgate any administrative regulations necessary to implement the

provisions of this subsection. The integrated management of such claims shall in no

event affect any benefits, rights, or coverage established pursuant to a workers'

compensation insurance policy. Treatment for work -related conditions shall not be

subject to either copayments or deductibles. The com missioner shall make a report

comparing the results of each program to the expected results under traditional

workers' compensation insurance and traditional workers' compensation with a

managed care program. The program shall serve as a tentative model fo r future

experiments.

(2) No policy for twenty -four (24) hour coverage shall become effective until it is

reviewed and approved by the commissioner, in consultation with the commissioner

of the Department of Insurance.

(3) The purchase of a twenty -four (24 ) hour health policy shall not constitute an

exemption from statutory provisions which require other nonmedical insurance

coverage. However, an insurance carrier shall reduce its premium for insurance

coverage written without the medical or health care com ponent. Notwithstanding

the provisions of Subtitle 13 of KRS Chapter 304, the premium reduction required

in this subsection shall be subject to the approval of the commissioner of the

Department of Insurance.

(4) If an employer obtains a twenty -four (24) hour health insurance policy, pursuant to

this section, to secure payment of compensation for medical care and treatment

under this chapter, the employer shall also procure an insurance policy which shall

provide indemnity benefits to ensure that the total coverage afforded by both the

twenty-four (24) hour insurance policy and the policy providing indemnity benefits

shall provide the total compensation required by this chapter.

(5) The participants in a project for twenty-four (24) hour health coverage shall comply

with periodic reporting requirements of the commission.

(6) Each agency of state government shall cooperate with the commissioner if

requested to provide information for the purposes of this section.