CA DWC Posts 2011 AR Of Inventory Advice And Form For Claims

                               Oakland, CA (CompNewsNetwork) - The Division of Workers' Compensation (DWC) Audit Unit has published the form claims administrators can use for the required 2011 annual report of inventory (ARI) for claims reported in calendar year 2010, along with advice for claims administrators, on its Web site. This posting replaces individual notices previously sent to claims administrators.

Additionally, the Audit Unit is now requesting the federal employer identification number (FEIN) for each adjusting location and for all underwriting companies and/or clients for which claims are administered at the given location. A claims administrator's obligation to submit an ARI can be waived if the DWC administrative director (AD) determines the claims administrator is in compliance with electronic data reporting requirements of the Workers' Compensation Information System (WCIS). FEIN information will be used by the DWC Research Unit to match claims information submitted electronically to the WCIS with that reported to the Audit Unit on the ARI, which will, in turn, allow the AD to waive ARI requirements for claims administrators as appropriate.

Even when ARI requirements are waived, claims administrators must file an annual report of adjusting locations. This report is to be filed annually on April 1 of each calendar year for the adjusting location operations as of Dec. 31 of the prior year. DWC has provided a new form, which can be used for this purpose.

The California Code of Regulations, title 8, section 10104 requires claims administrators to file an annual report of inventory indicating the number of claims reported at each adjusting location for the preceding calendar year with the AD by April 1 of each year. Even if there were no claims reported in the prior year, the report must be completed and submitted to the DWC Audit Unit. Each adjusting location is required to submit an ARI, whether or not they receive a form for reporting claims from the Audit Unit, unless their ARI requirement has been waived by the AD.

Claims administrators are also required to report any change in the information reported in the ARI or annual report of adjusting location within 45 days of the effective date of the change. 

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