287.867. Insolvency fund, created--purposes, audit of. - Missouri Statutes

Insolvency fund, created--purposes, audit of.

287.867. 1. Upon the adoption of a plan of operation,including, if applicable, the adoption of rules or regulations bythe division of workers' compensation pursuant to section287.870, there shall be created an "Insolvency Fund" to bemanaged by the corporation.

2. The insolvency fund is created for purposes of meetingthe obligations of insolvent members incurred while members ofthe corporation and after the exhaustion of all assets includingany bonds, escrow deposits, insurance or reinsurance, as requiredunder this chapter. A method of operation of the insolvency fundshall be defined in the plan of operation as provided in section287.870 or applicable rules and regulations pertaining to it.

3. The division shall have the authority to audit thefinancial soundness of the insolvency fund annually.

4. The division may recommend certain amendments to theplan of operation to the board of directors of the corporationfor purposes of assuring the ongoing financial soundness of theinsolvency fund and its ability to meet the obligations ofsections 287.860 to 287.885.

5. An actuary on behalf of the division or otherappropriate division personnel may make recommendations, fromtime to time, to improve the orderly payment of claims.

(L. 1992 H.B. 975)