SENATE COMMITTEE SUBSTITUTE FOR
SENATE, No. 1918
STATE OF NEW JERSEY
ADOPTED JUNE 5, 2008
Senator PAUL A. SARLO
District 36 (Bergen, Essex and Passaic)
Senator FRED H. MADDEN, JR.
District 4 (Camden and Gloucester)
Assemblyman JOSEPH V. EGAN
District 17 (Middlesex and Somerset)
Assemblyman NEIL M. COHEN
District 20 (Union)
Assemblyman THOMAS P. GIBLIN
District 34 (Essex and Passaic)
Assemblyman PETER J. BARNES, III
District 18 (Middlesex)
Senator Ruiz, Assemblywomen Evans and Greenstein
Requires Insurance Fraud Prosecutor to establish liaison with DOLWD and authorizes its investigation of cases of failure to provide workers’ compensation coverage.
CURRENT VERSION OF TEXT
As reported by the Senate Labor Committee on June 19, 2008, with amendments.
An Act concerning fraud with respect to workers’ compensation coverage and amending and supplementing P.L.1998, c.21.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. Section 34 of P.L.1998, c.21 (C.17:33A-18) is amended to read as follows:
34. a. A section of the Office of Insurance Fraud Prosecutor shall be designated to be responsible for establishing a liaison and continuing communication between the office and the Department of Health and Senior Services, the Department of Human Services, the Department of Labor and Workforce Development, any professional board in the Division of Consumer Affairs in the Department of Law and Public Safety, the Department of Banking and Insurance, the Division of State Police, every county prosecutor's office, such local government units as may be necessary or practicable and insurers.
b. The section of the office responsible for such liaison shall establish procedures: (1) for receiving notice from all entities enumerated in subsection a. of this section of any case in which fraud is suspected or has been substantiated; (2) for receiving referrals for the investigation of alleged fraud; (3) for receiving referrals for the prosecution of fraud by the office; (4) for receiving and referring information regarding cases, administrative or otherwise, under investigation by any department or other entity to the appropriate authority; and (5) for providing information to and coordinating information among any referring entities on pending cases of insurance fraud which are under investigation or being litigated or prosecuted. The liaison section of the office shall maintain a record of every referral or investigation.
(cf: P.L.1998, c.21, s.34)
2. (New section) In addition to the investigatory and prosecutorial authority granted pursuant to section 35 of P.L.1998, c.21 (C.17:33A-19), the Insurance Fraud Prosecutor may investigate, and if warranted, prosecute, cases of failure to provide workers’ compensation insurance coverage 1after being given a reasonable opportunity to obtain that coverage1, or self-insurance for such coverage, as required pursuant to chapter 15 of Title 34 of the Revised Statutes. Nothing in this section shall be deemed to limit the existing authority of the Insurance Fraud Prosecutor.
3. This act shall take effect immediately.