NE Code § 48-146 (2021)
2021 Nebraska Revised Statutes|Chapter 48 - Labor|48-146 - Compensation insurance; provisions required; approval by Department of Insurance; effect of bankruptcy.

48-146.  Compensation insurance; provisions required; approval by Department of Insurance; effect of bankruptcy.No policy of insurance against liability arising under the Nebraska Workers' Compensation Act shall be issued and no agreement pursuant to section 44-4304 providing group self-insurance coverage of workers' compensation liability by a risk management pool shall have any force or effect unless it contains the agreement of the workers' compensation insurer or risk management pool that it will promptly pay to the person entitled to the same all benefits conferred by such act, and all installments of the compensation that may be awarded or agreed upon, and that the obligation shall not be affected by the insolvency or bankruptcy of the employer or his or her estate or discharge therein or by any default of the employer after the injury, or by any default in the giving of any notice required by such policy, or otherwise. Such agreement shall be construed to be a direct promise by the workers' compensation insurer or risk management pool to the person entitled to compensation enforceable in his or her name. Each workers' compensation insurance policy and each agreement forming a risk management pool shall be deemed to be made subject to the Nebraska Workers' Compensation Act. No corporation, association, or organization shall enter into a workers' compensation insurance policy unless copies of such forms have been filed with and approved by the Department of Insurance. Each workers' compensation insurance policy and each agreement pursuant to section 44-4304 providing group self-insurance coverage of workers' compensation liability by a risk management pool shall contain a clause to the effect (1) that as between the employer and the workers' compensation insurer or risk management pool the notice to or knowledge of the occurrence of the injury on the part of the employer shall be deemed notice or knowledge, as the case may be, on the part of the insurer or risk management pool, (2) that jurisdiction of the employer for the purpose of such act shall be jurisdiction of the insurer or risk management pool, and (3) that the insurer or risk management pool shall in all things be bound by the awards, judgments, or decrees rendered against such employer. Except when the Professional Employer Organization Registration Act allows coverage to be limited to co-employees as specified in a professional employer agreement, each workers' compensation insurance policy and each agreement providing such group self-insurance coverage shall include within its terms the payment of compensation to all employees who are within the scope and purview of the Nebraska Workers' Compensation Act, including potential new or unknown employees.Source   Laws 1913, c. 198, § 47, p. 599;   R.S.1913, § 3688;   Laws 1917, c. 85, § 22, p. 215;   C.S.1922, § 3070;   C.S.1929, § 48-147;   Laws 1933, c. 91, § 1, p. 364;   Laws 1935, c. 57, § 32, p. 203;   C.S.Supp.,1941, § 48-147;   R.S.1943, § 48-146;   Laws 1949, c. 162, § 1, p. 415;   Laws 1967, c. 291, § 2, p. 795;   Laws 1971, LB 572, § 9;   Laws 1986, LB 811, § 71;   Laws 1987, LB 398, § 44;   Laws 1988, LB 1146, § 2;   Laws 1997, LB 474, § 5;  Laws 1999, LB 216, § 10;  Laws 2005, LB 238, § 11;  Laws 2010, LB579, § 17. Cross References   Construction of section, see section 48-115.01.  Professional Employer Organization Registration Act, see section 48-2701.  Risk management pool, defined, see section 44-4303. Annotations  1. Employer and insurer relationship 2. Miscellaneous 1. Employer and insurer relationship Absent fraud or collusion, insurers in privity with their insureds will be bound by a judgment against the insured, regardless of whether the insurer was notified of the underlying action. Risor v. Nebraska Boiler, 274 Neb. 906, 744 N.W.2d 693 (2008). The provisions of this section requiring that policies insuring liability arising under the Nebraska Workers' Compensation Act provide that jurisdiction over the insured shall be jurisdiction over the insurer and that the insurer shall in all things be bound by the awards, judgments, or decrees rendered against the insured, do not authorize the compensation court to ignore the separate identities of the insured and insurer. Rodriquez v. Prime Meat Processors, 228 Neb. 55, 421 N.W.2d 32 (1988). Joinder of employer for purpose of subrogation was for benefit of insurance carrier. American Province Real Estate Corp. v. Metropolitan Utilities Dist., 178 Neb. 348, 133 N.W.2d 466 (1965). Insurance carrier is directly liable to an accidentally injured employee of the insured. Ramsey v. Kramer Motors, Inc., 155 Neb. 584, 52 N.W.2d 799 (1952). Agreement made between employee and adjuster for the insurance company is not binding on employer so as to toll statute of limitations. Hill v. Hinky-Dinky Stores Co., 133 Neb. 147, 274 N.W. 455 (1937). Statute provides insurer and insured are jointly liable, and defenses, waived by voluntary appearance of insured, are extended to insurer. Collins v. Casualty Reciprocal Exchange, 123 Neb. 227, 242 N.W. 457 (1932). Reasonable agreement by employer with injured employee binds insurance carrier. Bailey v. United States Fidelity & Guaranty Co., 99 Neb. 109, 155 N.W. 237 (1915). Notice to the insured-employer is binding on the insurer. Snowden v. Helget Gas Products, 15 Neb. App. 33, 721 N.W.2d 362 (2006). 2. Miscellaneous Insurance company having written new policy is liable for entire loss even though notice of cancellation of former policy not filed within time limit set by rule of Workmen's Compensation Court. Neeman v. Otoe County, 186 Neb. 370, 183 N.W.2d 269 (1971). Insurance carrier is a proper party defendant. Peek v. Ayers Auto Supply, 157 Neb. 363, 59 N.W.2d 564 (1953). Agreement to pay compensation which was not approved by compensation commissioner or compensation court was void. Duncan v. A. Hospe Co., 133 Neb. 810, 277 N.W. 339 (1938). The requirement contained in this section that each workers' compensation insurance policy covers all employees within the purview of the Nebraska Workers' Compensation Act overrides an insurance policy provision which excludes any such employee from coverage. Kruid v. Farm Bureau Mut. Ins. Co., 17 Neb. App. 687, 770 N.W.2d 652 (2009).