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Gov. Hochul’s Proposed Regulatory Changes to Workers’ Comp Treatment

 In her 2025 State of the State, Gov. Kathy Hochul outlined several proposals aimed at improving access to medical care within the New York State Workers’ Compensation system. These initiatives, detailed in her “Fighting for Your Family” agenda and elaborated upon in subsequent announcements, focus on removing barriers to treatment for injured workers and streamlining the system for healthcare providers. Below is a summary of what she said and the potential effects on the administration of Workers’ Compensation claims.



KEY TAKEAWAYS
  • Kathy Hochul has proposed a sweeping initiative to improve access to medical care within the New York State Workers’ Compensation system, removing barriers to treatment for injured workers and streamlining the system for healthcare providers.
  • The proposals could significantly reshape the administration of Workers’ Compensation claims in New York, with both positive and challenging implications.
  • If implemented with clear regulations and robust oversight, the reforms could modernize the system. If not, they risk overwhelming existing processes. The state Workers’ Compensation Board’s support of the proposals suggests momentum. But success hinges on execution.

What Gov. Hochul Said

The governor emphasized the need to enhance healthcare access for injured workers as part of her broader healthcare and workforce agenda. Key points from her address and related policy documents include:

1. Universal Authorization for Providers:

Hochul proposed legislation to allow all eligible healthcare providers — such as physicians, nurse practitioners, and others licensed under state law — to treat Workers’ Compensation claimants without requiring prior authorization from the Workers’ Compensation Board (WCB). She stated, “New Yorkers who are injured or become ill on the job need more options for care,” highlighting that the current requirement for WCB authorization limits access, particularly in underserved areas like upstate New York.

This was further detailed in a February 25 press release, in which she noted that the reform would give injured workers “freedom to see the providers they want, including their own primary care providers whom they already know and trust.”

2. Expanding Provider Participation:

She proposed increasing reimbursement rates to make participation in the Workers’ Compensation system more attractive to providers. Hochul argued this would address the shortage of authorized providers, a barrier that delays care and prolongs workers’ recovery.

In her words, “These proposals enhance access for workers… as well as compensate our medical providers at a rate far more attuned to the reality of providing care.”

3. Legislative and Regulatory Changes:

Hochul introduced four legislative proposals and one regulatory change, including:

Amending the Workers’ Compensation law to allow insurers to pay for medical treatment for up to one year without accepting liability, with automatic claim acceptance after that period unless controverted. She said this would ensure “injured workers get timely medical care” while providing transparency.

Allowing fellows and resident physicians in teaching hospitals to treat workers under supervision, leveraging New York’s academic medical resources to expand care options.

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