Louisiana Revised Statutes 23:1401 – Discontinuation of Louisiana Workers’ Compensation Assigned Risk Plan
Terms Used In Louisiana Revised Statutes 23:1401
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- Corporation: means the Louisiana Workers' Compensation Corporation. See Louisiana Revised Statutes 23:1392
A. The Louisiana Workers’ Compensation Assigned Risk Plan, as authorized by La. Rev. Stat. 22:1475(A), is discontinued effective September 30, 1992, except for dissolution of any obligations for claims occurring prior to the termination of any policies written pursuant to the Louisiana Workers’ Compensation Assigned Risk Plan.
B. Notwithstanding any other provision of law, the corporation shall be self-funding and cover corporation losses and expenses. The sole source of continual funding of the corporation shall be its policyholders and contractual services fees, except as provided in La. Rev. Stat. 23:1397 and 1399(A)(5). There shall be no requirement for any insurer to capitalize the corporation. There shall be no assessments or other liability imposed on any insurer for any deficit of the corporation.
C. It is the intent of this Part to provide for an orderly transfer of policies from the Louisiana Workers’ Compensation Assigned Risk Plan as authorized by La. Rev. Stat. 22:1475(A) to the corporation as defined herein. The activities of the Louisiana Workers’ Compensation Assigned Risk Plan are hereby discontinued as follows:
(1) The Louisiana Workers’ Compensation Assigned Risk Plan will continue its operation for all policies with inception dates of or before September 30, 1992. All policies written thereunder shall be for one-year terms, and shall not be terminated prior to expiration except for cause. In no case shall policies with inception dates of October 1, 1992, or later, be provided under the Louisiana Workers’ Compensation Assigned Risk Plan.
(2) Commencing October 1, 1992, the corporation fund shall offer policies for preferred and accepted risks.
Acts 1991, No. 814, §1; eff. Nov. 20, 1991; Acts 2008, No. 415, §2, eff. Jan. 1, 2009.