(a) An employer joining a workers' compensation self-insurance group after the group has been issued a certificate of approval shall: (1) Submit an application for membership to the board of trustees or its administrator; and (2) enter into the indemnity agreement required by subparagraph (B) of subdivision (5) of subsection (b) of section 38a-1003. Membership takes effect no earlier than each member's date of approval. The application for membership and its approval shall be maintained as permanent records of the board of trustees.
(b) Individual members of a group shall be subject to cancellation by the group pursuant to the bylaws of the group. In addition, individual members may elect to terminate their participation in the group. The group shall notify the Commissioner and chairman of the Workers' Compensation Commission of a termination or cancellation of a member within ten days and shall maintain coverage of each cancelled or terminated member for thirty days after notice, at the terminating member's expense, unless the group is notified sooner by the Workers' Compensation Commission that the cancelled or terminated member has procured workers' compensation insurance, has become an approved self-insurer or has become a member of another group.
(c) The group shall pay all workers' compensation benefits for which each member incurs liability during its period of membership. A member who elects to terminate its membership or is cancelled by a group remains jointly and severely liable for workers' compensation obligations of the group and its members which were incurred during the cancelled or terminated member's period of membership.
(d) A group member shall not be relieved of its workers' compensation liabilities incurred during its period of membership except through payment by the group or the member of required workers' compensation benefits.
(e) The insolvency or bankruptcy of a member shall not relieve the group or any other member of liability for the payment of any workers' compensation benefits incurred during the insolvent or bankrupt member's period of membership.
(P.A. 96-267, S. 8.)
Structure Connecticut General Statutes
Chapter 706 - Private Employer Workers' Compensation Group Self-Insurance
Section 38a-1000. - Applicability.
Section 38a-1001. - Definitions.
Section 38a-1002. - Approval of self-insurance group required.
Section 38a-1003. - Group certificate of approval. Application. Fees.
Section 38a-1004. - Duration and termination of certificate of approval.
Section 38a-1005. - Examination of group. Costs.
Section 38a-1006. - Group board of trustees.
Section 38a-1008. - Service company and administrator to be mutually disinterested.
Section 38a-1009. - Nonemployee soliciting group membership must be licensed.
Section 38a-1010. - Annual statement of financial condition required. Untrue statement prohibited.
Section 38a-1012. - Misrepresentation and omission in membership solicitation prohibited.
Section 38a-1013. - Investments.
Section 38a-1014. - Classifications and rating. Premium contributions. Audits. Hearings.
Section 38a-1015. - Excess moneys refundable. Refund plan. Notice.
Section 38a-1016. - Premium payment plan required. Loss reserves. Bad debt reserves.
Section 38a-1017. - Deficiencies. Insolvency. Liquidation and assessment.
Section 38a-1018. - Penalties.
Section 38a-1020. - Revocation of certificate of approval.
Section 38a-1021. - Additional provisions.