RE: Elimination of Minnesota Exception Rule VB2e

The Minnesota Commerce Department has approved the elimination of the Minnesota Exception Rule VB2e effective October 1, 1995.

Effective October 1, 1995, Minnesota law changed to include holiday, vacation and sick pay as part of the

payroll base used to determine auditable premium. As a result, the Minnesota Exception Rule VB2e, found on Minnesota Exception page 12 of NCCI's Basic Manual, will be eliminated in favor of NCCI's language found on page R-11 of the Basic Manual. For your review, on the reverse side is a side by side comparison of the present language and the newly approved language.

The Department of Commerce has requested that we remind Minnesota Workers' Compensation Insurers Association members that the above filing will automatically apply to each member of MWCIA unless that member files an exception with the Department of Commerce. This filing should indicate the member does not intend to utilize the filing, or adopt a filing of their own. It must be submitted to the Department of Commerce for review and approval.

Very truly yours,

J. P. HILDEBRANDT

President