IAIABC Member Spotlight

Each month, the IAIABC highlights one of its member organizations, asking about what the organization does; what challenges it sees workers' compensation facing; and why they're involved with the IAIABC. Find past member spotlights here. 

IAIABC: Please provide an organizational overview (number of employees, years in business, vision)

Jessica Stimac, Assistant Commissioner, Minnesota Department of Labor and Industry:  The Minnesota Department of Labor and Industry’s (DLI) Workers’ Compensation Division (WCD) oversees and administers the workers’ compensation system in Minnesota. 

WCD has approximately 115 full-time employees, providing services for our stakeholders out of DLI’s central office in St. Paul and five offices across Greater Minnesota. Our services are delivered by six business units within WCD.

1. Alternative Dispute Resolution:
   Helps resolve workers’ compensation disputes without formal litigation through mediation, administrative conferences and negotiation. It promotes faster, cost-effective resolution to benefit all parties.
2.  Business Technology Office:
   Develops and maintains technology systems and tools to support workers’ compensation operations and services. It ensures digital platforms are secure, efficient and user-friendly for both staff members and external users.
3. Compliance, Records and Training:
   Ensures compliance with workers’ compensation laws, maintains records and provides training to stakeholders. This unit also monitors employer and insurer practices to uphold system integrity.
4. Office of Workers’ Compensation Ombudsman:
   Offers independent, neutral assistance to injured workers, helping them navigate the workers’ compensation system and resolve concerns. It serves as a confidential resource to ensure injured workers understand their rights and receive fair treatment.
5. Special Compensation Fund:
   Manages financial support for certain claims, such as those involving uninsured employers or supplementary benefits. It also recovers costs from responsible parties and supports programs that enhance workplace safety.
6. Vocational Rehabilitation Unit:
   Assists injured workers in returning to work through career counseling, job placement and retraining services. The goal is to help workers achieve suitable, gainful employment.

We strive to create an environment where injured workers promptly receive benefits and services and where the system operates efficiently and effectively. 

IAIABC: How does your organization serve the workers’ compensation industry? 

JS: The Minnesota Department of Labor and Industry acts as a regulator, facilitator and resource provider in the workers’ compensation industry – balancing the rights and responsibilities of workers and employers to ensure a fair, efficient and accessible system.

1. Protects injured workers’ rights
   • Ensures injured employees get the medical care and wage-loss benefits they are entitled to under Minnesota law.
   • Provides dispute-resolution services to help workers and employers resolve conflicts without costly litigation.
2. Enforces compliance
   • Makes sure employers carry required insurance coverage and follow workers’ compensation laws.
   • Holds insurers accountable for timely payments and proper claims handling.
3. Maintains system integrity and efficiency
   • Serves as the central authority overseeing the system to keep it fair, transparent and consistent for all participants.
   • Prevents abuse and inefficiency through oversight, regulation and enforcement.
4. Provides education and outreach
   1. Provides training, resources and guidance to workers, employers, insurers, attorneys and health care providers.
   2. Offers publications, workshops and online tools to help stakeholders understand their rights and responsibilities under the law.
5.  Data collection and research
   • Collects and analyzes data about workplace injuries and claims to monitor trends and inform policy.
   • Publishes annual reports and statistics about workers’ compensation in Minnesota.
6. Collaboration with stakeholders
   • Works with labor, business, industry groups, insurers, health care providers and legislators to improve the system and ensure it remains healthy and balanced.
   • Engages in rulemaking and policy development to adapt to changing workplace conditions and legal needs.

 DLI’s most vital role is to serve as the impartial backbone of Minnesota’s workers’ compensation system, ensuring it functions smoothly and fairly for both workers and employers.

IAIABC: What do you see as some of the major challenges the industry is facing, and how can we as a community address them?

JS: As states expand compensability to mental injuries and create presumptions, mental health claims present a unique and growing challenge in the workers’ compensation system. As described in the recently published study, Evaluating PTSD Claims in Minnesota’s Workers’ Compensation System: Findings and Recommendations.

1. Difficulty in proving work-relatedness and high denial rates
   • Workers must typically prove that the mental health condition is primarily caused by their job, which can be difficult. Many claims are denied due to lack of clear evidence or documentation.
2. Stigma and underreporting
   • Employees may be reluctant to report mental health issues due to fear of stigma, job loss or judgment, leading to delayed treatment or unreported conditions that worsen over time. Delays increase the cost, complexity and duration of claims once they are eventually filed.
3. Treatment complexity and duration
   • Mental health treatment may require long-term therapy, medication management and ongoing support. Progress may be slower and less predictable compared to physical recovery, in certain cases. Claims stay open longer, increasing indemnity and medical costs.
4. Increased litigation and disputes
   • Mental health claims are more prone to dispute. Higher legal costs and prolonged resolution timelines are common.

Mental health claims may be harder to diagnose, treat and prove as work-related, making them more costly and complex to administer than physical injuries. The industry must evolve to integrate behavioral health support and develop new standards for evaluating and compensating psychological injuries.

IAIABC: Are there any projects/programs/initiatives going on at your organization that you are particularly excited or enthusiastic about?

JS: At the direction of the Workers’ Compensation Advisory Council (WCAC) and Minnesota Legislature, DLI partnered with the University of Minnesota to identify systemic or regulatory changes to improve outcomes for workers with job-related post-traumatic stress disorder (PTSD) by way of a study, published Aug. 1, 2025. To my knowledge, it is the first study of its kind. 

The report describes Minnesota’s legal framework, analyzes claim trends and gathers input from stakeholders. Key findings revealed high rates of claim denials – especially for workers in occupations covered by the PTSD rebuttable presumption – and highlighted challenges related to diagnosis timelines, administrative processes and limited access to qualified providers. Despite Minnesota’s alignment with best practices in PTSD treatment, barriers remain in early recognition, claim processing and return-to-work outcomes.

The report recommends improving data collection, clarifying injury dates, aligning timelines with mental health realities, expanding access to qualified diagnostic providers, and enhancing outreach and vocational services to support workers with PTSD. It is anticipated the recommendations will be considered by the WCAC this fall. 

The report is available online:  Evaluating PTSD Claims in Minnesota’s Workers’ Compensation System: Findings and Recommendations.

Additionally, as DLI transitioned away from the vendor that developed our modernized workers’ compensation technology system, we implemented an agile development approach through a unique team, the Business Technology Office (BTO). BTO focuses on customer and user experience and serves a wide range of stakeholders inside and outside the department. It uses a “product team” approach. The product team is a collaboration of business and IT staff members, using an iterative and agile approach to development that allows system users to be engaged in the development process and see value delivered every two weeks.

Implementing this approach and establishing this team has increased two-way communication with our stakeholders and improved user experience with DLI’s technology platform, Work Comp Campus. Modernization is not a one-time project – it requires ongoing change management, system improvements and maintenance. DLI has invested in the ongoing success of our technology system with implementation of the product team and approach.

IAIABC: What's an interesting fact about your organization that most people don't know?

JS:  We operate a free alternative dispute-resolution system that helps resolve many claims without the need for formal litigation.

• Most people assume workers’ compensation disputes automatically end up in court, but in Minnesota, the services offered by our Alternative Dispute Resolution unit resolve many issues early – saving time, money and stress for injured workers and employers.
• These services include mediation sessions, administrative conferences and interventions by specialists, all aimed at resolving disputes informally and efficiently.
• In many cases, disputes about benefit eligibility, medical treatment or wage-loss compensation are settled without ever needing a full evidentiary hearing.

These services help our stakeholders avoid lengthy legal battles and keep the system running more smoothly.

IAIABC: Why is your organization a member of the IAIABC? What would you tell others about the benefits of membership?

JS: Membership in the IAIABC offers valuable opportunities for networking and collaboration, connecting with workers’ compensation professionals who share our goals and challenges. By engaging with others, we can exchange ideas, share resources and form partnerships that strengthen our work and broaden perspectives. It is a powerful way to build relationships, grow professionally and contribute to a supportive, collaborative community.

Previous Member Spotlights

2025 Member Spotlights

WCF Insurance - January 2025
Washington State Department of Labor and Industry - March 2025
Linea Solutions: Special Edition - April 2025
Enlyte - May 2025
Sentry Insurance - June 2025
Texas Department of Insurance, Division of Workers' Compensation - August 2025