Education and Labor Workers' Claims
Actual FY 2024Actual FY 2025Revised FY 2026Recommended FY 2027Recommended FY 2028
SOURCE OF FUNDS
Restricted Funds
Balance Forward111,95220,18611,000
Current Receipts344,851430,866315,000315,000315,000
Non-Revenue Receipts49,581,17247,945,49162,904,30062,269,40062,652,500
Total Restricted Funds50,037,97548,396,54463,230,30062,584,40062,967,500
TOTAL SOURCE OF FUNDS50,037,97548,396,54463,230,30062,584,40062,967,500
EXPENDITURES BY CLASS
Personnel Costs18,085,45118,715,76019,376,80018,725,20019,108,300
Operating Expenses2,044,1822,064,0933,155,5003,180,5003,180,500
Grants Loans Benefits29,822,20727,605,77440,698,00040,678,70040,678,700
Capital Outlay65,950
TOTAL EXPENDITURES50,017,78948,385,62763,230,30062,584,40062,967,500
EXPENDITURES BY FUND SOURCE
Restricted Funds50,017,78948,385,62763,230,30062,584,40062,967,500
TOTAL EXPENDITURES50,017,78948,385,62763,230,30062,584,40062,967,500
EXPENDITURES BY UNIT
Workers' Claims50,017,78948,385,62763,230,30062,584,40062,967,500
TOTAL EXPENDITURES50,017,78948,385,62763,230,30062,584,40062,967,500
The Department of Workers' Claims operates under the authority of KRS Chapters 12, 336, and 342. The Department enforces statutes with regard to workers' compensation coverage for Kentucky's 2.1 million employees, administers workers' compensation claims and ensures that employers comply with the insurance, self-insurance, and rehabilitation provisions in KRS Chapter 342.
The Department of Workers' Claims is managed by the Commissioner's office. The Department is comprised of four divisions: Division of Specialist and Medical Services, Division of Claims Processing, Division of Security and Compliance, and the Division of Workers' Compensation Funds. The Office of Administrative Law Judges and the Workers' Compensation Board are attached to the Department.
Division of Security and Compliance regulates individual entities that are approved to self-insure and ensure that sufficient coverage or assets are maintained to pay claims. The Division of Specialists and Medical Services focuses on constituent services to provide services to employees, employers, insurance carriers, and medical providers to assist in claiming Division of Claims Processing handles review and docket assignment for filed claims.
Division of Workers' Compensation Funds is responsible for the administration and legal representation for the Special Fund and the maintenance of records regarding the payment of workers' compensation injury claims.
The Workers' Compensation Board is attached to the Department for administrative purposes. The Board rules on appeals of decisions rendered by administrative law judges in the Kentucky Workers Claims' and Compensation system pursuant to KRS 342.213 and KRS 342.285. The board consists of three members appointed by the Governor to four-year terms.
The Office of Administrative Law Judges conducts hearings; supervises the presentation of evidence and renders final decisions, orders or awards regarding workers' compensation claims.
Funding for the Department of Workers' Claims is provided by the Kentucky Workers' Compensation Funding Commission's special assessments imposed upon workers' compensation premiums paid by employers and self-insureds.
Policy
The Governor's budget includes additional funding in the amount of $281,100 in fiscal year 2027 and $577,300 in fiscal year 2028 to fund a 2% salary increment in fiscal year 2027 and an additional 2% in fiscal year 2028.