CO HB1207

Redefines "overpayment" in workers' compensation law to include four categories: overpayments resulting from fraud, miscalculation/clerical errors asserted within 30 days, payments made in error exceeding existing admissions or orders, and duplicate benefits from wage offsets or wages earned during temporary disability benefits.

Clarifies that overpayments do not need to exist at the time a claimant receives benefits, but can result from circumstances discovered later.

Preserves insurance carriers' and employers' ability to receive credits against permanent disability benefits for temporary disability benefits paid beyond maximum medical improvement dates.

Allows the Director and Administrative Law Judges to determine overpayments and order repayment pursuant to specific statutory sections (8-42-113.5 and 8-43-207).

Modifies the award reopening process to address overpayments involving the circumstances described in section 8-42-113.5, with recovery ordered according to that section.

Takes effect January 1, 2022.