Wyoming Administrative Code
Agency 053 - Workforce Services, Department of
Sub-Agency 0021 - Workers' Compensation Division
Chapter 2 - EMPLOYER COVERAGE, COMPLIANCE, AND DISCOUNT PROGRAMS
Section 2-6 - Non-Resident Employers' Surety Bond

Universal Citation: WY Code of Rules 2-6

Current through September 21, 2024

(a) Pursuant to W.S. § 27-1-106, all firms, corporations or employers of any kind who are non-resident employers as defined in W.S. § 27-14-102(a)(xiii) and expect to pay wages above the set statutory threshold in the state of Wyoming, are required to file a surety bond or other security with the Division.

(b) Non-resident employer definitions for: Individual, Sole Proprietor, Limited Liability Company (LLC), Limited Liability Partnership (LLP), Limited Partnership (LP), and/or Corporations:

(i) Employer and/or Individual or Sole Proprietor is not domiciled in Wyoming for at least twelve (12) months; or

(ii) If any partner or LLC, LLP or LP member is not domiciled in Wyoming for at least twelve (12) months; or

(iii) If more than three fourths (3/4) of the capital stock of the business is owned by individuals not domiciled in Wyoming for at least twelve (12) months (Corporations).

(c) Employers are exempt from security if:

(i) Expected wages paid to Wyoming employees are below the set threshold per W.S. § 27-1-106; or

(ii) Employer is a charitable or religious organization as defined in W.S. § 27-1-106(g).

(d) Acceptable Forms of Security. A surety bond or security can be filed with the Division in the form of:

(i) Cash bond;

(ii) Surety bond;

(iii) Letter of credit; or

(iv) Real property. Real property may be pledged in lieu of a bond if the nonresident employer delivers the following documentation on real property located in Wyoming to the Division.
(A) An appraisal on the subject property conducted by a licensed Wyoming appraiser that is ninety (90) days old or less which shows the value of the subject property is greater than the amount of the required bond;

(B) A title policy or other certification issued by a Wyoming title company showing that the subject property is owned by employer and is free from any other liens or encumbrances; and

(C) A recordable instrument signed by a duly authorized representative of the employer noting the Department's lien interest in the subject property.

(e) Duration. Surety bond or security is required for a minimum of two (2) years. This may be extended if the employer does not comply for the two (2) year period.

(f) Penalties. The penalties for willful failure of any covered non-resident employer to give bond or other security are contained in W.S. § 27-14-307.

(g) Forfeiture. Prior to proceedings for forfeiture of a bond by a non-resident employer, the Division shall notify the employer in writing of the events triggering a possible forfeiture, the amount of the bond to be forfeited, and the employer's right to avoid forfeiture by paying an equivalent amount to the Division within thirty (30) days. The amount to be forfeited shall be the sum of the following:

(i) The remaining reserved amounts for compensable injuries to the employer's workers less the cumulative premiums paid by the employer;

(ii) All unpaid premiums, penalties and interest accruing as a result of late payment or non-payment of said premiums, and reasonable auditing expenses; and,

(iii) Any and all amounts due to the Department of Workforce Services and, any other section under W.S. Title 27 - Labor and Employment.

Disclaimer: These regulations may not be the most recent version. Wyoming may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
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