Effective 28 Aug 1992
287.877. Insolvent member, board may determine, how — notice to division, when. — 1. Upon determination by majority vote that any member employer may be insolvent or in a financial condition hazardous to the employees thereof or to the public, it shall be the duty of the board of directors to notify the division of workers' compensation of any information indicating such condition.
2. The board of directors may, upon majority vote, request that the division determine the condition of any member employer which the board in good faith believes may no longer be qualified to be a member of the corporation. Within thirty days of the receipt of such request or, for good cause shown, within a reasonable time thereafter, the division shall make such determination and shall forthwith advise the board of its findings. Each request for a determination shall be kept on file by the division, but the request shall not be open to public inspection prior to the release of the determination to the public.
3. It shall also be the duty of the division to report to the board of directors when it has reasonable cause to believe that a member employer may be in such a financial condition as to be no longer qualified to be a member of the corporation.
4. The board of directors may, upon majority vote, make reports and recommendations to the division upon any matter which is germane to the solvency, liquidation, rehabilitation, or conservation of any member employer. Such reports and recommendations shall not be considered public documents.
5. The board of directors may, upon majority vote, make recommendations to the division for the detection and prevention of employer insolvencies.
6. The board of directors shall, at the conclusion of any member employer's insolvency in which the corporation was obligated to pay covered claims, prepare a report on the history and cause of such insolvency, based on the information available to the corporation, and shall submit such report to the division.
7. Both the board and the division shall, under the plan of operation, pursuant to section 287.870, and any applicable rules and regulations, establish further recommendations as the occasion suggests.
--------
(L. 1992 H.B. 975)
Copyright ©2024 LegalFix. All rights reserved. LegalFix is not a law firm, is not licensed to practice law, and does not provide legal advice, services, or representation. The information on this website is an overview of the legal plans you can purchase—or that may be provided by your employer as an employee benefit or by your credit union or other membership group as a membership benefit.
LegalFix provides its members with easy access to affordable legal services through a network of independent law firms. LegalFix, its corporate entity, and its officers, directors, employees, agents, and contractors do not provide legal advice, services, or representation—directly or indirectly.
The articles and information on the site are not legal advice and should not be relied upon—they are for information purposes only. You should become a LegalFix member to get legal services from one of our network law firms.
You should not disclose confidential or potentially incriminating information to LegalFix—you should only communicate such information to your network law firm.
The benefits and legal services described in the LegalFix legal plans are not always available in all states or with all plans. See the legal plan Benefit Overview and the more comprehensive legal plan contract during checkout for coverage details in your state.
Use of this website, the purchase of legal plans, and access to the LegalFix networks of law firms are subject to the LegalFix Terms of Service and Privacy Policy.