50-a. Self-insurer offset fund. 1. The chair shall maintain a fund to be known as the self-insurer offset fund and such fund shall be held in the sole custody of the chair. The chair may transfer the money in such fund to the administrative account as necessary to effectuate the purpose of this section. The chair shall use the money in the fund to pay unmet claims for self-insurers.
2. At any time prior to April first, two thousand eleven, the chair may withdraw funds from the uninsured employers fund provided for under section twenty-six-a of this chapter, up to such amount as the chair determines is sufficient to fund any anticipated additional expenses of such fund, taking into account anticipated available revenues, but in no event to exceed seventy-five million dollars in the aggregate. Such funds shall be deposited into the self-insurer offset fund, and used in accordance with subdivision one of this section. As consistent with this section, the chair may set the timing of such withdrawals in its discretion.
3. Beginning in two thousand fifteen, and each year thereafter, the chair shall add to the total of each annual assessment made under paragraph g of subdivision five of section fifty of this article the sum of up to three million dollars, to be allocated to private group and individual self-insurers in accordance with such paragraph. The chair shall assess additional funds under this paragraph as necessary to insure that there are sufficient funds in the fund for uninsured employers to meet its liabilities, or if necessary in accordance with section one hundred fifty-one of this chapter. Such funds as are collected pursuant to this subdivision shall be deposited into the uninsured employer fund until all funds withdrawn therefrom under subdivision one of this section are returned with interest calculated at an annual rate equal to the rate of return on funds in the fund for uninsured employers from the prior year.
4. To the extent provided by the self-insurer bond financing agreement the chair may request the dormitory authority to transfer bond proceeds into such account for the purposes outlined in the bond financing agreement.
5. At such time as the board is not obligated to pay any unmet claims of a self-insurer, the fund created under this section shall be closed, and any money remaining in the fund shall be deposited into the uninsured employer fund.
Last modified: February 3, 2019