62-5-5. Self-insurance by employer--Annual proof of solvency and financial ability--Application fee--Deposit of fees--Certificate of exemption.

241 words·~1 min read·/sd/title-62/chapter-62-5/62-5-5

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If an employer coming under the provisions of this title annually furnishes satisfactory proof to the Department of Labor and Regulation of the employer's solvency and financial ability to pay the compensation required by this title, the employer is relieved from the provisions of § 62-5-1 . Each employer shall submit an application fee not to exceed two thousand five hundred dollars to the Department of Labor and Regulation at the time proof of solvency is submitted. The Department of Labor and Regulation shall set, by rules promulgated pursuant to chapter 1-26 , the amount of the application fee.

All fees paid to the department pursuant to this section shall be deposited with the state treasurer and shall be credited to the Department of Labor and Regulation special revenue fund which is hereby created. The money deposited shall be dedicated and continuously appropriated to the department for purposes of conducting an actuarial review of the applicant's financial condition and automating the administration of the workers' compensation law.

Upon receiving satisfactory proof of financial solvency and surety for performance required by § 62-5-10 , the department shall issue a certificate of exemption relieving the employer of the obligation to purchase worker's compensation insurance provided in §§ 62-5-2 and 62-5-3 . The department may revoke this certificate if the employer fails to comply with the provisions of titles 58 and 62, or with any rules promulgated by the Department of Labor and Regulation.