NU Online News Service, May 16, 3:15 p.m.EDT--Texas House and Senate leaders are due to work out acompromise later this week on an overhaul of the workers'compensation systems following Friday's passage of the twocompeting models.

Joe Woods, regional manager for the Property Casualty InsurersAssociation of America, expressed confidence that a compromise willbe reached on the major differences in the bills.

On Friday, both chambers passed competing versions of the billwith differences focusing on governance issues.

The House version would put the system under the TexasDepartment of Insurance, while the Senate version will create aseparate governing entity.

The bills will create managed-care style medical networks thatbusiness leaders have been lobbying for to reduce costs. Thecurrent system generally allows workers to pick their physicianfrom a state-approved doctor list. The two versions differ slightlyon how open the system will be to outside providers.

Mr. Woods said the House version would offer benefits workersreceive for time off from work that would be more expensive thanthose offered by the Senate.

"We are concerned that these costs will wipe out the savingscreated by the managed-care network," he said.