2005 West Virginia Code - §23-2C-9. — West Virginia Private Carrier Guaranty Fund.

§23-2C-9. West Virginia Private Carrier Guaranty Fund.
(a) The Private Carrier Guaranty Fund established in article two-c of this chapter shall provide benefits to those employees whose employers' private carrier is found to be insolvent by a court of competent jurisdiction in the insurer's state of domicile or has otherwise defaulted on its payment obligations and is subject to an administrative action by the Insurance Commissioner.
(b) The Private Carrier Guaranty Fund shall be funded through assessments on each private carrier of Workers' Compensation Insurance. All assessments shall be deposited in the Private Carrier Guaranty Fund established in this article. The assessment may be collected by each carrier from its policy holders in the form of a policy surcharge. To establish the amount of the assessment, the Insurance Commissioner shall determine the amount of money necessary to pay outstanding obligations of the defaulting private carrier and to maintain an appropriate balance in the fund for each fiscal year. The Insurance Commissioner shall apply an assessment rate to the private carriers that reflects the relative hazard of the employments covered by the private carriers, results in an equitable distribution of costs among the private carriers and is based upon expected annual premiums to be received.
(c) A defaulting private carrier shall not be permitted to write any Workers' Compensation Insurance in this state until it has reimbursed the Private Carrier Guaranty Fund for any payments made for the private carrier's unpaid obligations.
(d) Private carriers providing Workers' Compensation insurance shall not be subject to article twenty-six, chapter thirty-three of this code for any premiums received for coverage provided under this chapter.
(e) The Insurance Commissioner may promulgate rules to implement the provisions of this section.