S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   9096
 
                             I N  S E N A T E
 
                                May 9, 2022
                                ___________
 
 Introduced  by Sen. RAMOS -- (at request of the State Insurance Fund) --
   read twice and ordered printed, and when printed to  be  committed  to
   the Committee on Labor
 
 AN  ACT to amend the workers' compensation law, in relation to the issu-
   ance of policies by the state insurance fund where a balance is due on
   a prior policy issued by such fund

   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1. Subdivisions b and c of section 93 of the workers' compen-
 sation law, as amended by section 24 of part GG of  chapter  57  of  the
 laws of 2013, are amended to read as follows:
   b.  An  employer,  whose policy of insurance has been cancelled by the
 state insurance fund for non-payment of premium and assessments or with-
 draws pursuant to section ninety-four of this article, is ineligible  to
 contract  for  a subsequent policy of insurance with the state insurance
 fund while the billed premium on the  cancelled  policy  remains  uncol-
 lected. HOWEVER, THE STATE INSURANCE FUND SHALL HAVE DISCRETION TO ISSUE
 A  NEW  POLICY  TO SUCH EMPLOYER BY CONSENTING TO A PAYMENT PLAN FOR THE
 EMPLOYER TO PAY OFF THE BALANCE ON THE PRIOR POLICY  PROVIDED  THAT  (1)
 ANY  REQUIRED PAYROLL AUDIT OR SELF-AUDIT HAS BEEN COMPLETED AT THE TIME
 THE NEW POLICY IS ISSUED, (2) THE EMPLOYER'S PRIOR  PAYMENT  AND  POLICY
 HISTORY MEET THE STATE INSURANCE FUND'S UNDERWRITING STANDARDS,  (3) THE
 EMPLOYER  HAS DEMONSTRATED THE ABILITY TO PAY THE DEPOSIT PREMIUM ON THE
 NEW POLICY AND THE FIRST INSTALLMENT OF THE BALANCE  DUE  ON  THE  PRIOR
 CANCELLED  POLICY  PRIOR  TO  ISSUANCE  OF THE NEW POLICY, AND (4)   THE
 EMPLOYER HAS DEMONSTRATED THE ABILITY TO PAY THE  OVERDUE  BALANCE  FROM
 THE  PRIOR  CANCELLED  POLICY BY INSTALLMENTS AS DETERMINED BY THE STATE
 INSURANCE FUND TOGETHER WITH PAYMENTS ON THE NEW  POLICY  WITHIN  TWELVE
 MONTHS  FROM THE DATE THE NEW POLICY IS ISSUED. IF AN EMPLOYER IS ISSUED
 A NEW POLICY PURSUANT  TO  THIS  SUBDIVISION,  SUCH  EMPLOYER  SHALL  BE
 REQUIRED TO MAKE THE FINAL PAYMENT ON SUCH OVERDUE BALANCE WITHIN TWELVE
 MONTHS FROM THE DATE THE NEW POLICY IS ISSUED.  IF THE EMPLOYER DEFAULTS
 ON  PAYMENT  FOR EITHER THE NEW POLICY OR THE BALANCE DUE FROM THE PRIOR
 CANCELLED POLICY, THE EMPLOYER'S NEW POLICY IS SUBJECT  TO  CANCELLATION
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD13577-01-1
 S. 9096                             2

 FOR  NON-PAYMENT  OF  PREMIUM AS PROVIDED UNDER THIS CHAPTER. IF THE NEW
 POLICY ISSUED PURSUANT TO THIS SUBDIVISION IS  CANCELLED,  THE  EMPLOYER
 SHALL  BE INELIGIBLE FOR AN ADDITIONAL POLICY UNTIL ALL AMOUNTS DUE FROM
 ALL PRIOR CANCELLED POLICIES HAVE BEEN PAID.
   c. The state insurance fund shall not be required to write a policy of
 insurance  for any employer which is owned or controlled or the majority
 interest of which is owned or controlled, directly or indirectly, by any
 person  who  directly  or  indirectly  owns  or  controls  or  owned  or
 controlled  at  the time of cancellation an employer whose former policy
 of insurance with the state insurance fund was cancelled for non-payment
 of premium and assessments or withdraws pursuant to section  ninety-four
 of  this article or who is or was at the time of cancellation the presi-
 dent, vice-president, secretary or treasurer of such an  employer  until
 the  billed premium on the cancelled policy is paid. THE STATE INSURANCE
 FUND SHALL HAVE DISCRETION TO WRITE A POLICY TO SUCH AN  EMPLOYER  USING
 THE  SAME  TERMS  AS  APPLICABLE  TO  WRITING A POLICY OF INSURANCE TO A
 FORMER POLICYHOLDER THAT OWES A BALANCE ON A PRIOR  POLICY  AS  PROVIDED
 UNDER SUBDIVISION B OF THIS SECTION.
   For  purposes of this subdivision, "person" shall include individuals,
 partnerships, corporations, and other associations.
   § 2. This act shall take effect immediately.