Sec. 406.007. TERMINATION OF COVERAGE BY EMPLOYER; NOTICE. (a) An employer who terminates workers' compensation insurance coverage obtained under this subtitle shall file a written notice with the division not later than the 10th day after the date on which the employer notified the insurance carrier to terminate the coverage. The notice must include a statement certifying the date that notice was provided or will be provided to affected employees under Section 406.005.
(b) The notice required under this section shall be filed with the division in accordance with Section 406.009.
(c) Termination of coverage takes effect on the later of:
(1) the 30th day after the date of filing of notice with the division under Subsection (a); or
(2) the cancellation date of the policy.
(d) The coverage shall be extended until the date on which the termination of coverage takes effect, and the employer is obligated for premiums due for that period.
Acts 1993, 73rd Leg., ch. 269, Sec. 1, eff. Sept. 1, 1993. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 9.49(a), eff. Sept. 1, 1995.
Amended by:
Acts 2005, 79th Leg., Ch. 265 (H.B. 7), Sec. 3.026, eff. September 1, 2005.
Acts 2017, 85th Leg., R.S., Ch. 467 (H.B. 2112), Sec. 2, eff. June 9, 2017.
Structure Texas Statutes
Title 5 - Workers' Compensation
Subtitle A - Texas Workers' Compensation Act
Chapter 406 - Workers' Compensation Insurance Coverage
Subchapter A. Coverage Election; Security Procedures
Section 406.002. Coverage Generally Elective
Section 406.003. Methods of Obtaining Coverage
Section 406.004. Employer Notice to Division
Section 406.005. Employer Notice to Employees; Administrative Violation
Section 406.007. Termination of Coverage by Employer; Notice
Section 406.008. Cancellation or Nonrenewal of Coverage by Insurance Company; Notice
Section 406.009. Collecting and Maintaining Information; Monitoring and Enforcing Compliance
Section 406.010. Claims Service; Administrative Violation
Section 406.011. Austin Representative; Administrative Violation