Section R20-5-119. Notice of Third-party Settlement

A.      Except as otherwise provided by law, if an employer is insured for workers’ compensation insurance and a claimant, or in the event of death, the claimant’s dependent, elects to proceed against a third party, the claimant shall notify the appropriate workers’ compensation carrier, or self-insured employer, of any settlement or judgment in the third party suit and the basis upon which the claimant and third party agree to disburse the proceeds of the settlement or judgment.

B.       If an employer is uninsured for workers’ compensation insur- ance and a claimant, or in the event of death, the claimant’s dependent, elects to proceed against a third party, the claimant shall notify the special fund division of any settlement or judg- ment in the third party suit and the basis upon which the claim- ant and third party agree to disburse the proceeds of the settlement or judgment.

C.      If a lawsuit is filed against a third party, the claimant or the claimant’s attorney shall provide copies of pleadings and all offers of settlement to the workers’ compensation carrier, self- insured employer, or special fund division to whom notice is required under subsections (A) and (B).

Historical Note

Former Rule 19. Amended effective March 1, 1987, filed

February 26, 1987 (Supp. 87-1). R20-5-119 recodified from R4-13-119 (Supp. 95-1). Amended by final rulemaking at 7 A.A.R. 3966 and 7 A.A.R. 4995, effec-

tive August 17, 2001 (Supp. 01-3).