Senate Bill 739 Summary

• Requires insurers to file notice with the Workers' Compensation Commission within 30 days of issuing a workers' compensation policy, with a maximum fine of $1,000 for non-compliance.

• Establishes different security requirements for self-insured employers based on employee count and net assets: employers with fewer than 100 employees or less than $1,000,000 in net assets must deposit securities or bonds averaging three years of claims; larger employers must secure surety bonds or irrevocable letters of credit.

• Creates a Self-insurance Guaranty Fund maintained by the Self-insured Guaranty Fund Board, funded by assessments on private self-insurers and group self-insurance associations at a rate up to 2% per annum of actual paid losses when the fund falls below $1,000,000 or is less than $2,000,000.

• Transfers security proceeds from impaired self-insurers to the Self-insurance Guaranty Fund Board to maintain in a segregated account for administering workers' compensation obligations and paying valid claims.

• Directs that excess proceeds remaining after all claims are paid, settled, or lapsed shall be transferred from the impaired self-insurer's account back to the Self-insurance Guaranty Fund.

• Effective November 1, 2017.