West Virginia Code of State Rules › Agency 114 - Insurance Commission › Title 114 - LEGISLATIVE RULE INSURANCE COMMISSIONER › Series 114-65 - Self-Insurance Pools For Political Subdivisions › Section 114-65-5 - Authorization of Pools

Current through Register Vol. XLI, No. 28, July 12, 2024
5.1. After review of the
				documents and information described in section four of this rule, the Commissioner
				may notify the pool that its operation is authorized if he or she determines that
				the pool meets the criteria set forth in this rule. Authorization to operate a pool
				shall remain in effect until terminated at the request of the board or revoked by
				the Commissioner.
5.2. The Commissioner
				is authorized to monitor as he or she considers necessary the financial solvency of
				pools, which may include reviewing the pool's rates, to ensure that the pool's
				liabilities for claims, present and contingent, and other expenses are at no time
				greater than its assets. If a pool is found by the Commissioner to be in a deficit
				condition the pool must file a financial plan acceptable to the Commissioner to
				correct the deficit condition. The Commissioner may examine the affairs,
				transactions, accounts, records, and assets of the pool as often as it deems
				necessary and may take appropriate regulatory action whenever in his or her judgment
				a pool is insolvent or otherwise financially impaired, which may include the
				withdrawal of the authorization to operate the pool.
5.3. Information regarding the portion of reserves
				of a pool established to satisfy a specific claim or cause of action is confidential
				and is not subject to discovery.
5.4.
5.4.a. A civil liability pool may voluntarily
				dissolve after presentation to and approval by the Commissioner of a plan of
				dissolution. The plan must provide for the payment of all incurred losses and
				expenses of the fund and its members, including all incurred but not reported
				losses, as certified by an actuary, to the extent of the pool's assets. No assets of
				the pool maybe used for any other purpose until payment of all such losses and
				expenses is provided for. Subject to approval of the Commissioner, a pool may merge
				with another pool if the resulting pool assumes in full all obligations of the
				merging pools.
5.4.b. Upon approval from
				the Commissioner, a workers' compensation pool may voluntarily dissolve. The pool
				and its members shall remain forever jointly and severally liable for all injuries
				and exposures, whether known, unknown, or contingent, occurring during the period in
				which the pool was in existence. Prior to dissolving, a pool shall post bond or
				security in a form acceptable to the Commissioner and in an amount sufficient to
				cover all past, present and future liabilities, whether known, unknown or
				contingent, resulting from the period in which the pool was self-insured, and
				provide adequate assurances for the continued administration of claims and payment
				of assessments, surcharges as required by chapter twenty-three of the West Virginia
				code and the rules promulgated thereunder. The pool shall further meet all other
				reasonable terms and conditions for dissolution as required by the
				Commissioner.