SB 6034-S - DIGEST

(DIGEST OF PROPOSED 1ST SUBSTITUTE)

Provides that the rates should be designed to attempt to reduce volatility in premiums, by establishing rates of premium based upon historical rates of investment return and other recognized insurance principles.

Requires the department to, in consultation with the workers' compensation advisory committee, adopt rules regarding the level of assets needed to maintain actuarial solvency of the accident and medical aid funds in accordance with this provision. The department and the workers' compensation advisory committee shall consider the level of assets customarily used by private insurers offering workers' compensation insurance in other states and other states' workers' compensation funds.