To: Insurance Carriers Providing Benefits Under the Workers' Compensation Law

From: Robert R. Snashall, Chairman

Subject: Revision of Proof of Coverage Submission Requirements to IAIABC Standards (Formerly Prescribed Forms C-220 (01/97), C-221 (01/97))

Date: August 27, 2001

Supersedes Subject No. 046-16 dated February 15, 1997 and Subject No. 046-16.2 dated August 24, 2000

The Workers' Compensation Board continues to update and enhance its Employer Compliance functions with the development of a new Insurance Compliance application based on the International Association of Industrial Accident Boards and Commissions (IAIABC) Proof of Coverage (POC) data set. The new application will use the IAIABC electronic filing transaction set for the receipt of POC information. The IAIABC standards are based on the WCPOLS standards now used by carriers to report to state rating boards.

As part of the new system, the Board will no longer use or accept paper or electronic Forms C-220, Notice of Issuance of New Policy or Reinstatement of Policy, and C-221, Notice of Cancellation or Intention Not to Renew. The Board will also no longer accept magnetic tape or disk for reporting Proof of Coverage transactions.

Beginning December 1, 2001, carriers writing workers' compensation policies for New York State employers must submit proof of such policies to the NYS Workers' Compensation Board using the IAIABC standard POC format. (Please note: this change pertains to workers' compensation coverage transactions only, and not disability benefits transactions.) Carriers may submit IAIABC POC data to the Board using one of three methods:

1. File Transfer Protocol (FTP) - carriers can register with the Board, at no cost, to send data through a secure FTP process and receive electronic notification of accepted and rejected transactions from the Board.

2. Web-based Transactions - the Board is developing a secure web-based data entry process that will allow carriers to enter IAIABC POC data on individual policies and submit this data electronically to the Board. The Board will acknowledge accepted and rejected transactions. There will be no cost to the carrier for the use of this web-based process.

3. Use of a third party vendor (ISO ClaimPort) - the Board will accept POC submissions from any third party vendor (ISO ClaimPort) that passes our testing process. The Board is not mandating the use of a third party vendor (ISO ClaimPort.) In addition, the Board has no preference in a carrier's choice of third party vendors. Carriers will be held liable for the information submitted by their chosen filing vendor.

Carriers currently filing with the Board in volume may be called upon to assist in our data verification and validation process. This will help ensure a smooth transition to the new system and provide carriers an opportunity to review employer name, New York State Unemployment Insurance Employer Registration Number (UIER) and Federal Employer Identification Number (FEIN) information as shown on our system for their insureds.

The IAIABC standards and the New York specific mandatory/optional fields are posted on the Boards' web page under "Resources for Insurance Carriers" (www.wcb.state.ny.us). Please check our web page periodically for current filing information and updates on our progress toward implementation.

Among the fields that will be mandatory in the new system are the Employer's UIER and/or FEIN information for the insured and for each employer listed on a policy. The UIER and FEIN will be used as key fields in the identification of Employer records in a database. At least one of these identifiers must be present for the Board to accept the filing.

If you have any questions regarding the preceding, please contact Danna Goodwin at 518-474-1349 or by e-mail at danna.goodwin@wcb.state.ny.us.