HB 3042-S - DIGEST

(DIGEST OF PROPOSED 1ST SUBSTITUTE)

Declares that chapter 48.62 RCW is intended to provide the exclusive source of authority to a local government entity or adult family home to individually or jointly self-insure risks, jointly purchase insurance or reinsurance, and to contract for risk management, claims, and administrative services. However, local government entities and adult family homes may not participate in any activity or program authorized under this chapter in violation of Article VIII, section 5 or 7 of the state Constitution.

Provides that this chapter shall be liberally construed to grant adult family homes maximum flexibility in self-insuring to the extent the self-insurance programs are operated in a safe and sound manner.

Declares that this chapter is intended to require prior approval for the establishment of every individual adult family home self-insured employee health and welfare benefit program and every adult family home self-insurance program.