This bill amends the Nebraska Workers' Compensation Act by modifying the provisions regarding the commencement of compensation for disability and introducing cost-of-living adjustments (COLA) for weekly income benefits. Specifically, it changes the waiting period for compensation from the first seven calendar days of disability to three days, with compensation beginning on the fourth day if the disability extends beyond this period. Additionally, if the disability lasts for two weeks or longer, compensation will be calculated from the onset of the disability. The bill also establishes a framework for COLA adjustments starting in 2026 for weekly income benefits that last longer than twelve months, ensuring that these benefits keep pace with inflation.

Furthermore, the bill outlines the methodology for determining the COLA percentage, which will be the greater of one percent or the percentage change in the Consumer Price Index for Urban Wage Earners and Clerical Workers. The Nebraska Workers' Compensation Court will be responsible for determining the applicable COLA percentage annually, and the adjusted benefits will be capped at the maximum weekly income benefit specified in existing law. The bill repeals the original sections of the law that are being amended, thereby streamlining the provisions related to workers' compensation in Nebraska.

Statutes affected:
Introduced: 48-119, 48-121, 48-122.01