SECTION 129.11. Agreement for Monthly Payment of Temporary Income Benefits


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  • (a) Upon the request of an injured employee, the insurance carrier and an injured employee entitled to temporary income benefits (TIBs) may agree to change the frequency of TIBs payments from the standard weekly period to a monthly period. The agreement to change the payment frequency must be in writing and is only required to be filed with the division if the division requests a copy. To relieve the insurance carrier of the responsibility to pay TIBs weekly, a valid written agreement must include the following terms and conditions:

    (1) the agreement for the monthly payment of TIBs shall be effective the first calendar day of the month following the month in which the written agreement was entered into by the insurance carrier and the injured employee;

    (2) monthly TIBs payment shall be issued on or before the seventh day of the month following the month for which benefits are due;

    (3) weekly TIBs payments shall continue through the end of the month in which the agreement was signed;

    (4) payment of the last week of TIBs to transition from weekly payment of TIBs to monthly payments shall be prorated to the end of the month to ensure the injured employee receives TIBs through the last day of the month; and

    (5) if less than the maximum weekly compensation rate in effect on the date of the compensable injury is being paid, a completed Employer's Wage Statement must be included with the injured employee's copy of the written agreement.

    (b) To calculate the amount of monthly TIBs to pay, the carrier shall determine the average monthly wage by multiplying the average weekly wage by 4.34821 and subtracting any Post-Injury Earnings the employee earned during the month for which the employee was entitled to TIBs to determine the lost wages. The carrier shall then pay the employee in monthly TIBs as follows:

    (1) for a workers' compensation claim with a date of injury before September 1, 2015,

    (A) if the employee earns $8.50 per hour or more, the carrier shall pay 70% of the lost wages; or

    (B) if the employee earns less than $8.50 per hour, the carrier shall pay:

    (i) 75% of the lost wages for the first 26 weeks of TIBs due; and

    (ii) 70% of the lost wages for all TIBs payments thereafter; and

    (2) for a workers' compensation claim with a date of injury on or after September 1, 2015,

    (A) if the employee earns $10 per hour or more, the carrier shall pay 70% of the lost wages; or

    (B) if the employee earns less than $10 per hour, the carrier shall pay:

    (i) 75% of the lost wages for the first 26 weeks of TIBs due; and

    (ii) 70% of the lost wages for all TIBs payments thereafter.

    (c) Entering into an agreement under this section does not prohibit any party to the claim from raising disputes over periods, amounts of, or entitlement to TIBs. Disputes must be raised as and when they arise.

    (d) The agreement for the monthly payment of TIBs shall expire upon the suspension or termination of TIBs in accordance with the Act and division rules. The last monthly payment shall be prorated to ensure the insurance carrier pays the appropriate amount of TIBs.

    (e) At any time after signing the agreement for the monthly payment of TIBs, the injured employee or the insurance carrier may notify the other party in writing that it no longer agrees to the monthly payment of TIBs. In this case, the insurance carrier shall pay all accrued but unpaid TIBs at the end of the current monthly cycle and shall continue to pay TIBs weekly as and when they accrue and are due.

Source Note: The provisions of this §129.11 adopted to be effective December 26, 1999, 24 TexReg 11439; amended to be effective February 28, 2016, 41 TexReg 1249