Assembly Bill A7742A

                            
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 7742--A

                       2015-2016 Regular Sessions

                          I N  A S S E M B L Y

                              May 26, 2015
                               ___________

Introduced by M. of A. ZEBROWSKI, HAWLEY, SCHIMMINGER, DiPIETRO, SKOUFIS
  --  Multi-Sponsored by -- M. of A. KEARNS -- read once and referred to
  the Committee on Labor -- recommitted to the  Committee  on  Labor  in
  accordance  with Assembly Rule 3, sec. 2 -- committee discharged, bill
  amended, ordered reprinted as amended and recommitted to said  commit-
  tee

AN  ACT  to  amend  the  workers'  compensation  law, in relation to the
  requirement for policyholders to provide 30-days  notice  to  withdraw
  from the state insurance fund

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Subdivision a of section 94 of  the  workers'  compensation
law,  as  amended by chapter 635 of the laws of 1996, is amended to read
as follows:
  a.   Any employer may, upon complying with subdivision two or three of
section fifty of this chapter, withdraw from the fund by turning in  his
insurance  contract  for  cancellation,  provided  he  has given written
notice to the fund of his intention to withdraw  not  less  than  thirty
days  before  the  effective date of such cancellation.  Upon receipt of
such notice the fund shall, at least ten days  prior  to  the  effective
date  file  in  the office of the chairman a notice of such cancellation
date.  IN THE EVENT THAT AN EMPLOYER INTENDS TO WITHDRAW FROM  THE  FUND
AND  HAS  SECURED INSURANCE WITH ANOTHER INSURANCE CARRIER, THE EMPLOYER
SHALL PROVIDE WRITTEN NOTICE TO  THE  FUND  WHICH  SHALL  INCLUDE  THEIR
INTENTION TO WITHDRAW, DEMONSTRATION THAT THE EMPLOYER HAS SECURED A NEW
INSURANCE  POLICY  AND THE EFFECTIVE DATE OF CANCELLATION WHICH SHALL BE
THE DATE OF WHEN SUCH OTHER COVERAGE BECOMES EFFECTIVE.
  [In no event shall the insurance contract be deemed cancelled until at
least ten days after the date of such filing, any earlier date mentioned
in the notice to the contrary notwithstanding.]

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD10972-02-6

              

A. 7742--A                          2

  If an employer withdraws from the fund upon complying with subdivision
two of section fifty of this chapter, the new  insurance  contract  with
the stock corporation, mutual corporation or reciprocal insurer shall be
deemed  not  to  take  effect  until the cancellation of such employer's
contract with the state insurance fund has become effective.
  S  2.  This  act shall take effect on the ninetieth day after it shall
have become a law.