(1) Notwithstanding any provisions of this chapter or any other provisions to the contrary, the Kentucky coal workers’ pneumoconiosis fund shall have no liability for income benefits for coal workers’ pneumoconiosis claims filed or reopened on or after July 1, 2017.
(2) Notwithstanding any provisions of this chapter or any other provisions to the contrary, as soon as practically possible after July 1, 2017, all of the assets and liabilities of the Kentucky coal workers’ pneumoconiosis fund shall be transferred from the Kentucky Workers’ Compensation Funding Commission and Division of Workers’ Compensation Funds to the Kentucky Employers’ Mutual Insurance Authority through a loss portfolio transfer agreement. The Kentucky Employers’ Mutual Insurance Authority shall have full authority and responsibility over the Kentucky coal workers’ pneumoconiosis fund’s claims and shall administer the claims as permitted pursuant to KRS Chapter 342.

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Terms Used In Kentucky Statutes 342.1243

  • Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
  • Carrier: means any insurer, or legal representative thereof, authorized to insure the liability of employers under this chapter and includes a self-insurer. See Kentucky Statutes 342.0011
  • Compensation: means all payments made under the provisions of this chapter representing the sum of income benefits and medical and related benefits. See Kentucky Statutes 342.0011
  • Income benefits: means payments made under the provisions of this chapter to the disabled worker or his dependents in case of death, excluding medical and related benefits. See Kentucky Statutes 342.0011
  • Insurance carrier: means every insurance carrier or insurance company authorized to do business in the Commonwealth writing workers' compensation insurance coverage and includes the Kentucky Employers Mutual Insurance Authority and every self-insured group operating under the provisions of this chapter. See Kentucky Statutes 342.0011
  • Liabilities: The aggregate of all debts and other legal obligations of a particular person or legal entity.
  • premium: includes the initial consideration plus any reimbursements invoiced for losses, expenses, or fees charged under the deductibles. See Kentucky Statutes 342.0011
  • premiums received: includes the initial premium plus any reimbursements invoiced for losses, expenses, and fees charged under the deductibles. See Kentucky Statutes 342.0011
  • Severance or processing of coal: means all activities performed in the Commonwealth at underground, auger, and surface mining sites. See Kentucky Statutes 342.0011

(3) Notwithstanding the provisions of KRS § 342.1242, the Workers’ Compensation Funding Commission shall impose an assessment at an annual rate of fourteen percent (14%) upon the amount of workers’ compensation premiums received on or after January 1, 2017, through December 31, 2017, by every insurance carrier writing workers’ compensation insurance in the Commonwealth and by every self- insured group operating under the provisions of KRS § 342.350(4) and KRS Chapter
304, from employers engaged in the severance or processing of coal. Likewise, on or after January 1, 2017, through December 31, 2017, an assessment at the rate of fourteen percent (14%) of premium shall be paid by every employer engaged in the severance or processing of coal who is carrying his or her own risk.
(4) Notwithstanding the provisions of KRS § 342.1242, the Workers’ Compensation Funding Commission shall impose an assessment at an annual rate of fourteen percent (14%) upon the amount of workers’ compensation premiums received on or after January 1, 2018, through December 31, 2018, by every insurance carrier writing workers’ compensation insurance in the Commonwealth and by every self- insured group operating under the provisions of KRS § 342.350(4) and Chapter 304, from employers engaged in the severance or processing of coal. Likewise, on or after January 1, 2018, through December 31, 2018, an assessment at the rate of fourteen percent (14%) of premium shall be paid by every employer engaged in the severance or processing of coal who is carrying his or her own risk.
(5) Notwithstanding the provisions of KRS § 342.1242, in addition to the assessments in subsection (3) and (4) of this section, for the calendar years of 2017 and 2018, an assessment at the rate of fifteen cents ($0.15) per ton shall be imposed upon the total annual amount of tons of coal severed by every entity engaged in the severance of coal as required pursuant to KRS Chapter 143.
(6) The assessments imposed by this section shall supersede any assessment imposed pursuant to KRS § 342.1242 for the calendar years of 2017 and 2018. Any amount paid and collected that exceeds the assessment imposed by this section in calendar
year 2017 shall be reimbursed to the employer or credited to the employer’s account subject to the preference of the employer.
(7) Assessments pursuant to this section and KRS § 342.1242 that are collected by the Kentucky Worker’s Compensation Funding Commission shall be transferred to the Kentucky Employers’ Mutual Insurance Authority.
(8) When the Kentucky Workers’ Compensation Funding Commission and the Kentucky Employers’ Mutual Insurance Authority have determined final audits are closed and the liability of the fund is fully funded, then the authority for imposing assessment rates pursuant to this section and KRS § 342.1242 shall cease to exist. When all distributions pursuant to KRS § 342.1242(8) have been completed, the Kentucky coal workers’ pneumoconiosis fund shall be abolished. Any funds collected, following the abolition of the Kentucky coal workers’ pneumoconiosis fund, from subrogation or otherwise, after the final distribution shall be transferred to the Kentucky coal employers self-insurance guaranty fund.
Effective: June 29, 2021
History: Amended 2021 Ky. Acts ch. 25, sec. 2, effective June 29, 2021. — Amended
2020 Ky. Acts ch. 122, sec. 2, effective July 15, 2020. — Amended 2018 Ky. Acts ch.
54, sec. 7, effective July 14, 2018. — Created 2017 Ky. Acts ch. 173, sec. 3, effective
April 10, 2017.