Rule Change for Subsequent Temporary Disability Payment Schedule

By: Lorrie H. Spencer, Attorney at Law

Effective July 1, 2024, Oregon Administrative Rule (OAR) 436-060-0150(4)(b), regarding the schedule for subsequent payments of temporary disability benefits issued after the first payment of temporary disability, has changed. Click here for the industry notice on this Rule change.  Click here for the full revised Rule text.

The Rule specifies there are two options for the payment schedule:

• Option 1: Make payments at least once each 14 days. Include all benefits due for the period ending no more than seven days before the payment date (per OAR 436-060-0150(4)(b)(A)); OR

• Option 2: Make payments in accordance with the employer’s payroll schedule and pay period. The insurer’s claim file must include written documentation of the payroll schedule and pay period before the payments are issued (per OAR 436-060-0150(4)(b)(B)).

This option for timely payment of ongoing temporary disability benefits would likely be most beneficial for those claim examiners processing on behalf of one employer (to avoid multiple varying deadlines across one desk of claims), and those who have near-immediate access to a worker’s earned wages given that this option does not specifically allow for payments seven-days in arrears.

Please note: the payment schedules under OAR 436-060-0150(4)(b) only apply to payments of temporary disability benefits made after the first payment of temporary disability. The due date for the first payment of temporary disability benefits has not changed. It remains the law that, if the attending physician or authorized nurse practitioner has authorized temporary disability compensation, the first payment must be made no later than the fourteenth day after the date of the employer’s notice or knowledge of the claim and of the worker’s disability.

If you have any questions regarding this Rule change, I am happy to chat about it via e-mail [email protected] or phone (503) 802-5206.