(a) A professional employer organization shall:

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Terms Used In Tennessee Code 62-43-110

  • Client: means any person who enters into a professional employer agreement with a professional employer organization. See Tennessee Code 62-43-102
  • Department: means the department of commerce and insurance. See Tennessee Code 62-43-102
  • State: when applied to the different parts of the United States, includes the District of Columbia and the several territories of the United States. See Tennessee Code 1-3-105
(1) Ensure that its Tennessee covered employees are covered by workers’ compensation insurance provided in accordance with title 50 and the applicable Tennessee insurance laws and regulations as amended;
(2) Notify the department and its clients within ten (10) days of any notice of cancellation of its workers’ compensation coverage; and
(3) Notify the department and its workers’ compensation carrier, if applicable, of the termination of the professional employer organization’s relationship with any client with covered employees in this state.
(b) The professional employer organization shall be entitled along with the client to the exclusivity of the remedy under both the workers’ compensation and employer’s liability provisions of a workers’ compensation policy or plan that either party has secured.
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