Missouri Laws 287.867 – Insolvency fund, created — purposes, audit of
1. Upon the adoption of a plan of operation, including, if applicable, the adoption of rules or regulations by the division of workers’ compensation pursuant to section 287.870, there shall be created an “Insolvency Fund” to be managed by the corporation.
2. The insolvency fund is created for purposes of meeting the obligations of insolvent members incurred while members of the corporation and after the exhaustion of all assets including any bonds, escrow deposits, insurance or reinsurance, as required under this chapter. A method of operation of the insolvency fund shall be defined in the plan of operation as provided in section 287.870 or applicable rules and regulations pertaining to it.
Terms Used In Missouri Laws 287.867
- Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
- 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.
- division: as used in this chapter means the division of workers' compensation of the department of labor and industrial relations of the state of Missouri. See Missouri Laws 287.020
- Escrow: Money given to a third party to be held for payment until certain conditions are met.
3. The division shall have the authority to audit the financial soundness of the insolvency fund annually.
4. The division may recommend certain amendments to the plan of operation to the board of directors of the corporation for purposes of assuring the ongoing financial soundness of the insolvency fund and its ability to meet the obligations of sections 287.860 to 287.885.
5. An actuary on behalf of the division or other appropriate division personnel may make recommendations, from time to time, to improve the orderly payment of claims.