(A) Except as otherwise provided in this rule, premiums for marine industry fund insurance coverage shall be payable in advance, in semiannual installments, at a rate determined by the administrator of workers' compensation, subject to the approval of the bureau of workers' compensation board of directors. The amount of prepaid premium for any six-month period shall be determined by applying the rates and manuals in use by the marine industry fund for such period to the estimated payroll of the insured for a period of eight months.
(B) The initial premium required for the issuance of a new marine industry fund insurance policy shall be a sum equal to the estimated premium obligation for a period of eight months. Payment of the initial premium shall secure to the insured coverage for the remainder of the six month period from the date of issuance of the policy plus a two month adjustment period.
(C) Beginning July 1, 2012, renewal premiums shall be due and payable no later than August thirty-first (for the January first to June thirtieth period) and the last day of February (for the July first to December thirty-first period) . The premium required to renew a marine industry fund insurance policy shall be the prepaid premium for the next renewal period, determined in accordance with the provisions of paragraph (A) of this rule.
(D) All prepaid premiums shall be subject to adjustment at or after the close of the period with respect to which such prepaid premium was submitted. Adjustments shall be based on the employer's report of his actual payroll for the period, or upon audit findings reported by the authorized agents of the marine industry fund. In the event that adjustment of the prepaid premium reveals that the insured has overpaid his premium for the period being adjusted, the insured shall be entitled to reduce his renewal premium by the amount of such overpayment, or the insured shall be entitled to a refund. Should the adjustment reveal that the prepaid premium was less than the premium obligation based on actual payroll for the period being adjusted, the additional premium found to be owing shall be added to the renewal premium, or shall be billed to the employer.
Five Year Review (FYR) Dates:
Promulgated Under: 119.03
Statutory Authority: 4121.12, 4121.121
Rule Amplifies: 4131.13, 4131.14
Prior Effective Dates: 3/23/81, 12/18/89 (Emer.), 2/22/90, 7/5/12