This bill amends various sections of the Minnesota Statutes concerning workers' compensation and insurance policies, incorporating recommendations from the Workers' Compensation Advisory Council. Key changes include the introduction of new definitions and provisions for classifying employees, particularly voluntary uncompensated workers, and their eligibility for compensation. The bill specifies responsibilities for personal care assistance provider agencies regarding workers' compensation insurance and updates the definition of "executive officer of a corporation." It also outlines exclusions from coverage for certain worker categories, such as family members of farmers and independent contractors, while emphasizing the need for written elections for exclusions in closely held corporations and limited liability companies. Additionally, it mandates that employers provide necessary medical treatments and rehabilitation services for injured employees.

Further amendments focus on insurance policies for construction projects, particularly owner-controlled and contractor-controlled insurance programs. The bill requires project sponsors or contractors to replace insurance or compensate contractors/subcontractors if a policy is canceled before project completion, and it imposes a nonrefundable application fee of $2,500 for approval of these insurance programs. It establishes specific requirements for insurance policy forms and rates, including a minimum deductible of $50,000, and mandates that payroll records be maintained for three years post-project completion. The effective dates for these provisions are generally set for the day following final enactment, with some provisions specifically effective for policies issued or renewed after January 1, 2026.

Statutes affected:
Introduction: 176.011, 176.041, 176.135, 176.151, 176.175, 176.361, 176.421
1st Engrossment: 176.011, 176.041, 176.135, 176.151, 176.175, 176.361, 176.421, 176.185