1. There is hereby created a not-for-profit corporation to be known as the “Missouri Private Sector Individual Self-Insurers Guaranty Corporation”, hereinafter referred to as “the corporation” whose domicile and venue for service shall be Cole County, Missouri. Upon incorporation and adoption of bylaws, all individual self-insurers, as defined in section 287.280, other than individual public sector self-insurers and individual and public group self-insurers, as defined in section 287.280 and section 537.620, shall be and remain members of the corporation as a condition of their authority to individually self-insure in this state. The corporation shall perform its functions under a plan of operation as established and approved in section 287.870 and shall exercise its powers and duties through a board of directors as established in section 287.862. The corporation shall have those powers granted or permitted general not-for-profit corporations, as provided for in chapter 355.

2. A member may voluntarily withdraw from the corporation when the member voluntarily terminates the self-insurance privilege and pays all assessments due to the date of such termination. However, the withdrawing member shall continue to be bound by the provisions of sections 287.860 to 287.885 relating to the period of its membership and any claims charged pursuant thereto. The withdrawing member, who is or shall become a member on or after the incorporation, shall also be required to provide to the division of workers’ compensation, hereinafter referred to as “the division” upon withdrawal, and at twelve-month intervals thereafter, satisfactory proof that it continues to meet the standards of section 287.280 or the rules promulgated by the division under chapter 287 in relation to claims incurred while the withdrawing member exercised the privilege of self-insurance. Such reporting shall continue until the withdrawing member satisfies the division that there is no remaining value to claims incurred while the withdrawing member was self-insured. If, during this reporting period, the withdrawing member fails to meet the standards of section 287.280 or the rules promulgated by the division under chapter 287, the withdrawing member who is a member on or after the incorporation, may at six-month intervals or other agreed upon intervals thereafter be required by the division or by the corporation to provide to the division and to the corporation the certified opinion of an independent actuary who is a member of the American Society of Actuaries of the actuarial present value of the determined and estimated future compensation payments of the members for claims incurred while the member was a self-insurer. With each such opinion, the withdrawing member shall deposit with the division security in an amount equal to the value certified by the actuary and of a type that is acceptable for qualifying security deposits under section 287.280. The withdrawing member shall continue to provide such opinions and to provide such security until such time as the latest opinion shows no remaining value of claims. The corporation has a cause of action against a withdrawing member, and against any successor of a withdrawing member, who fails to timely provide the required opinion or who fails to maintain the required deposit with the division. The corporation shall be entitled to recover a judgment in the amount of the actuarial present value of the determined and estimated future compensation payments of the withdrawing member for claims incurred during the time that the withdrawing member exercised the privilege of self-insurance, together with reasonable attorney’s fees and all costs pertaining thereto. For purposes of sections 287.860 to 287.885, the “successor of a withdrawing member” means any person, business entity, or group of persons or business entities, which holds or acquires legal or beneficial title to the majority of the assets or the majority of the shares of the withdrawing member.