Texas Administrative Code
Title 28 - INSURANCE
Part 2 - TEXAS DEPARTMENT OF INSURANCE, DIVISION OF WORKERS' COMPENSATION
Chapter 114 - SELF-INSURANCE
Section 114.2 - Definitions
Universal Citation: 28 TX Admin Code ยง 114.2
Current through Reg. 49, No. 38; September 20, 2024
(a) The following words and terms are defined in the Texas Labor Code § 407.001, and are used in this chapter:
(1) Association;
(2) Impaired employer;
(3) Incurred liabilities for compensation;
and
(4) Qualified claims servicing
contractor.
(b) The following words and terms, when used in this chapter, shall have the following meanings, unless the context clearly indicates otherwise:
(1) Applicant--an employer that applies for
an initial certificate of authority to self-insure or, once initially
certified, any subsequent certificate of authority to self-insure.
(2) Certificate--A certificate of authority
to self-insure issued by the commissioner under Texas Labor Code §
407.042,
which entitles an employer to be a certified self-insurer and is valid only for
the persons, firms, or corporations named on the certificate. For a certificate
of authority to self-insure delivered, issued for delivery, or renewed on or
after January 1, 1996, a sole proprietor, partner, or corporate executive
officer of a business may be specifically excluded from coverage under Texas
Labor Code §
406.097.
(3) Certified self-insurer--A private
employer that has been granted a certificate of authority to self-insure for
payment of compensation, either currently or for a prior period except if
withdrawn with an insuring agreement under Labor Code §
407.045(a-1).
(4) Claims Contractor--A qualified claims
servicing contractor.
(5)
Division--The Texas Department of Insurance, Division of Workers'
Compensation.
(6) Excess
Insurance--Insurance that an employer purchases to pay claim costs that exceed
the employer's retention amount up to a specified limit.
(7) Retention--All payments that must be paid
by a certified self-insurer before an excess insurance policy will respond to a
loss for claims filed under the Workers' Compensation Act including indemnity
benefits, medical payments, death benefits, and all other related claims
expenses not otherwise covered by insurance.
(8) Trust Fund--The Texas certified
self-insurer guaranty trust fund created by the fee assessed by the Association
for emergency payment of the compensation liabilities of an impaired
employer.
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