G.__After the account is established, if at any time there are no group self-insurers participating, the Superintendent of Insurance shall terminate the account.__ Any funds remaining in the account must be returned, on a pro rata basis, to those group self-insurers who participated in the account during the 24 months prior to the termination of the account.

The superintendent shall adopt rules to implement this subsection.__Rules adopted pursuant to this subsection are routine technical rules as defined in Title 5, chapter 375, subchapter 2-A.

SUMMARY

This bill allows the Superintendent of Insurance within the Department of Professional and Financial Regulations to establish the Workers' Compensation Group Self-insurance Specific Reinsurance Alternative Account, an alternative method for group self-insurers to secure payment on specific claims that exceed $500,000. The superintendent is required to establish the account if 3 or more group self-insurers request the creation of the account. Participation in the account is required for a minimum of 3 years. Payments by the group self-insurers into the account are based on the rates of reinsurance and adjusted by the superintendent. Claims may be made for an injury occurring on or after the date of first deposit into the account but must be repaid in full through annualized payments by the group self-insurer.