N.Y. Comp. Codes R. & Regs. tit. 12 § 361.1

Current through Register Vol. 46, No. 42, October 16, 2024

Section 361.1 - Application

(a) Every employer and every association of employers or employees, or trustee or trustees paying benefits under a plan or agreement authorized under subdivision 4 or 5 of section 211 of the Workers' Compensation Law desiring to provide for the payment of benefits through approved self-insurance under subdivision 3 of section 211 of the Workers' Compensation Law shall apply to the chair for the privilege of becoming a self-insurer. Such application shall be in form prescribed by the chair.

(b) If the applicant is an association of employers or employees, or a trustee or trustees, each employer of employees for whom benefits under a plan pursuant to subdivision 4 or 5 of section 211 of the Workers' Compensation Law are to be provided by the applicant shall apply, in form prescribed by the chair, for acceptance of the plan of the association of employers or employees, trustee or trustees as the plan of the employer.

(c) If the chair shall be satisfied as to the financial and administrative ability of the applicant to make payment of the benefits provided and that the applicant's tangible assets make reasonably certain the payment of all obligations that may arise under article 9 of the Workers' Compensation Law, the application may be granted on the conditions provided herein and such other conditions as, in the discretion of the chair, as may be necessary or desirable in any case.

(d) Each applicant for self-insurance shall file the most recent certified, independently audited financial statement and copy of form 10K, if any, filed by the applicant with the Securities and Exchange Commission. A subsidiary corporation may submit the consolidated financial statement of the parent corporation in lieu of its own individual financial statement. In such event, however, the parent corporation must guarantee the liability of the subsidiary corporation under article 9 of the Workers' Compensation Law by filing with the chair an agreement of assumption and guarantee, in form approved by the chair.

(e) Employers self-insured under the provisions of section 204 of the Workers' Compensation Law prior to the effective date of the family leave benefit provisions of section 204 of the Workers' Compensation Law and continuing to self-insure shall have the option to elect to be self-insured for family leave benefits or obtain alternative coverage pursuant to subdivisions (1) and (2) of section 211 of the Workers' Compensation Law.

(f) Such election to self-insure for family leave benefits under section 204 of the Workers' Compensation Law must occur no later than September 30, 2017, and will require the self-insurer to post additional security and execute a binding agreement acknowledging acceptance of all liability for benefits paid that exceed the funds collected from employees, provided that the said contributions were at the mandatory maximum rate allowed by law. Employers self-insured under the provisions of section 204 of the Workers' Compensation Law prior to the effective date of the family leave benefit provisions of section 204 of the Workers' Compensation Law, who are electing to self-insure for paid family leave benefits, must submit a payroll report on a form prescribed by the chair. Such report shall include the full annual payroll of the self-insurer and its self-insured subsidiaries as of December 31, 2016. This report must be submitted no later than September 30, 2017.

(g) No employee shall bear any additional cost above the maximum employee contribution rate allowed by law and as published by the Superintendent of Financial Services and no employer may collect any contributions above the maximum rate allowed, except as part of an enhanced benefits plan approved by the chair pursuant to subdivision (5) of section 211 of the Workers' Compensation Law.

N.Y. Comp. Codes R. & Regs. Tit. 12 § 361.1

Amended New York State Register July 19, 2017/Volume XXXIX, Issue 29, eff. 7/19/2017