CT HB05308

Establishes a nonprofit domestic mutual insurance company to provide workers' compensation insurance to Connecticut employers, effective July 1, 2010.

Creates a seven-member board of directors appointed by the Governor, Speaker of the House, Senate President Pro Tempore, and both minority leaders, plus ex-officio members including the Labor Commissioner, with members required to be workers' compensation policyholders and at least three representing for-profit entities.

Board shall employ a chief executive officer by January 1, 2011, with authority to establish premium rates, conduct safety inspections, collect and disburse funds, and manage daily operations of the company.

Authorizes the Treasurer to transfer $5 million from the State Employees Retirement Fund to the Labor Department for the company, with written consent required from the Treasurer and State Employees' Bargaining Agent Coalition; the board must repay this amount plus interest within five years.

Allows the company to deny, refuse renewal, or cancel insurance policies for nonpayment of premiums, failure to disclose information, or noncompliance with safety requirements, with appeal rights to the Insurance Commissioner and potentially to superior court.