Terminated group self-insurance trusts in New York may apply to the state Workers’ Compensation Board to transfer their workers compensation liabilities by purchasing loss portfolio insurance, which the state calls an assumption-of-liability policy. In a December circular, the Workers’ Compensation Board said such a policy must be:
• In a form approved by the superintendent of insurance and be issued by a state-licensed insurer
• Issued based on a “single complete premium payment” made in advance by the group self-insurer
• Noncancelable for any cause
• Purchased after the group self-insurer satisfies all outstanding penalties and assessments
Source: New York State Workers’ Compensation Board
