California Insurance Code 11661.6 – (a) An insurer shall not insure an employer against his or her …
(a) An insurer shall not insure an employer against his or her obligation to reimburse the insurer for the amount of increase in indemnity payment as provided for by subdivision (e) of § 4650 of the Labor Code. Every contract insuring against liability for compensation and every compensation policy shall provide that the insured employer is obligated to reimburse the insurer for the amount of increase in indemnity payment required by § 4650 of the Labor Code, if the late indemnity payment which gives rise to the increase in the amount of payment is due less than seven days after the insurer receives the completed claim form from the employer.
(b) An insurer shall not report the amount of any increase in indemnity required by § 4650 of the Labor Code as incurred indemnity to the Insurance Commissioner‘s designated statistical agent.
Terms Used In California Insurance Code 11661.6
- Commissioner: means the Insurance Commissioner of this State. See California Insurance Code 20
- compensation: means the benefits insured by workers' compensation insurance. See California Insurance Code 11630
- Contract: A legal written agreement that becomes binding when signed.
- insurer: includes the State Compensation Insurance Fund. See California Insurance Code 11631
- Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
(Added by Stats. 1990, Ch. 1550, Sec. 1.)