[Code of Federal Regulations]

[Title 20, Volume 1]

[Revised as of April 1, 2005]

From the U.S. Government Printing Office via GPO Access

[CITE: 20CFR61.104]



[Page 142]

 

                      TITLE 20--EMPLOYEES' BENEFITS

 

                      CHAPTER I--OFFICE OF WORKERS'

                         COMPENSATION PROGRAMS,

                           DEPARTMENT OF LABOR

 

PART 61_CLAIMS FOR COMPENSATION UNDER THE WAR HAZARDS COMPENSATION ACT, 

AS AMENDED--Table of Contents

 

                   Subpart B_Reimbursement of Carriers

 

Sec.  61.104  Reimbursement of claims expense.



    (a) A carrier may claim reimbursement for reasonable and necessary 

claims expense incurred in connection with a case for which 

reimbursement is claimed under the Act. Reimbursement may be claimed for 

allocated and unallocated claims expense.

    (b) The term ``allocated claims expense'' includes payments made for 

reasonable attorneys' fees, court and litigation costs, expenses of 

witnesses and expert testimony, examinations, autopsies and other items 

of expense that were reasonably incurred in determining liability under 

the Defense Base Act or other workers' compensation law. Allocated 

claims expense must be itemized and documented as described in Sec.  

61.101.

    (c) The term ``unallocated claims expense'' means costs that are 

incurred in processing a claim, but cannot be specifically itemized or 

documented. A carrier may receive reimbursement of unallocated claims 

expense in an amount of to 15% of the sum of the reimbursable payments 

made under the Defense Base Act or other workers' compensation law. If 

this method of computing unallocated claims expense would not result in 

reimbursement of reasonable and necessary claims expense, the Office 

may, in its discretion, determine an amount that fairly represents the 

expenses incurred.

    (d) The Office shall not consider as a claims expense any general 

administrative costs, general office maintenance costs, rent, insurance, 

taxes, or other similar general expenses. Nor shall expenses incurred in 

establishing or documenting entitlement to reimbursement under the Act 

be considered.