SB 175: Adjust Experience Modification Factor in Workers' Compensation - Colorado

Rerevised → Final Act · 4 edits · May 20, 2026

MODERATE

This bill establishes a process for employers to request a reduction in their workers' compensation experience modification factor if an insurance carrier initially overestimated the cost of a closed claim. It requires carriers to notify rating organizations to adjust the factor within 30 days if the lower claim amount would significantly reduce the employer's rating. The changes ensure that employers are not penalized for administrative over-reserving on claims that have already been settled.

Scope change

The bill applies to all claims closed on or after January 1, 2027, and covers all insurance carriers authorized to do business in Colorado.

REQUIREMENT

Requires insurance carriers to notify the employer's authorized rating organization to revise the experience modification factor when a closed claim amount is lower than the initially reported open claim amount.

Mandates that the rating organization adjust the experience modification factor within 30 days of notification from the insurance carrier.

ELIGIBILITY

Allows employers to request a modification only if the lower claim amount reduces the experience factor by at least 0.05 or changes the factor from above 1.0 to 1.0 or below.

TIMELINE

Sets the effective date of the act for January 1, 2027, and includes a referendum provision allowing voters to repeal the act within 90 days of final adjournment.

Revised → Rerevised · 3 edits · May 9, 2026

MINOR

The bill was re-revised to incorporate all amendments adopted by the House during its second reading, updating the legislative history to reflect the current status of the bill. The primary change is the addition of three new co-sponsors to the House side of the bill, expanding the coalition of legislators supporting the measure. Additionally, a new header was added to indicate that this version includes amendments from the House's 3rd Reading on May 9, 2026, clarifying the bill's procedural stage.

TECHNICAL

Added three new House co-sponsors (Barron, Caldwell, and Flanell) to the list of legislative supporters.

Inserted a header indicating the bill is 'REREVISED' and includes amendments adopted in the Second House.

Added a specific date stamp noting the House's 3rd Reading occurred unamended on May 9, 2026.

Reengrossed → Revised · 3 edits · May 7, 2026

MINOR

The bill text has been updated from a 'Reengrossed' version to a 'Revised' version, indicating it has progressed further in the legislative process. The primary substantive change is the addition of a '2nd Reading Unamended' stamp dated May 7, 2026, which marks the bill's status in the House of Representatives. No changes to the bill's policy content, scope, funding, or eligibility criteria were identified in this comparison.

TIMELINE

Added a stamp indicating the bill was passed in its original form by the House on May 7, 2026.

TECHNICAL

Updated the header to reflect the bill is now 'Revised' rather than 'Reengrossed' and includes amendments adopted on second reading in the second house.

Inserted blank lines and spacing adjustments within the bill text.

Engrossed → Reengrossed · 3 edits · May 4, 2026

MINOR

The bill status changed from 'Engrossed' to 'Reengrossed' to reflect that all amendments adopted in the House of Introduction have been incorporated into this version. Additionally, the list of Senate co-sponsors was expanded to include Benavidez, Coleman, Exum, Kipp, Liston, Pelton R., and Rodriguez. A placeholder note regarding the bill summary was updated to indicate a future '3rd Reading Unamended' version will be available on May 4, 2026.

TECHNICAL

Added new Senate co-sponsors: Benavidez, Coleman, Exum, Kipp, Liston, Pelton R., and Rodriguez.

Updated the bill summary notice to reference a future '3rd Reading Unamended' version dated May 4, 2026.

Changed the bill title from 'ENGROSSED' to 'REENGROSSED' to indicate it includes all House amendments.

Introduced → Engrossed · 2 edits · May 1, 2026

MINOR

The bill's title was updated from 'Introduced' to 'Engrossed' to reflect that it has passed the House of Introduction with all amendments adopted. The page numbering was adjusted to remove the 'SB26-' prefix, likely for internal tracking or formatting consistency. No substantive policy changes, funding adjustments, or eligibility criteria were identified in this version of the text.

TECHNICAL

The bill status changed from 'Introduced' to 'Engrossed', indicating it has been amended and approved by the House.

Page headers were updated to remove the 'SB26-' prefix from the bill number, changing 'SB26-175' to just '175'.

Adjust Experience Modification Factor in Workers' Compensation

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