Hawaii Revised Statutes 386-208 – Guaranty mechanism
In the event of a liquidation pursuant to § 386-207, after exhausting the security required pursuant to section compensation self-insurance group” class=”unlinked-ref” datatype=”S” sessionyear=”2019″ statecd=”HI”>386-194(b)(2), the insurance commissioner shall levy an assessment against all groups to assure prompt payment of benefits. The assessment on each group shall be based on the proportion that the premium of each group bears to the total premium of all groups. The insurance commissioner may exempt a group from assessment upon finding that the payment of the assessment would render the group insolvent. The assessment shall not relieve any member of an insolvent group of its joint and several liability. After any assessment is made, the insurance commissioner shall take action to enforce the joint and several liability provisions of the insolvent group’s indemnity agreement and shall recoup:
Terms Used In Hawaii Revised Statutes 386-208
- Compensation: means all benefits accorded by this chapter to an employee or the employee's dependents on account of a work injury as defined in this section; it includes medical and rehabilitation benefits, income and indemnity benefits in cases of disability or death, and the allowance for funeral and burial expenses. See Hawaii Revised Statutes 386-1
- Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.