(a)(1)(A) The Workers' Compensation Commission is hereby authorized to recognize two separate entities formed under the Arkansas Nonprofit Corporation Act, §§ 4-28-201 - 4-28-206 and §§ 4-28-209 - 4-28-223, to function as guaranty funds for Arkansas workers' compensation self-insurers in the private sector.(B) One (1) guaranty fund will be established for individual self-insurers and homogeneous self-insurer groups, as defined in § 11-9-404(a)(3)(A).(C) A separate guaranty fund will be established for common self-insurer groups, as defined in § 11-9-404(a)(3)(B).(2) The two (2) funds shall be created, funded, and administered completely independently from each other.(3) The assets of the two (2) funds shall remain separate for all purposes and cannot be combined, and the assets of one (1) fund shall not be utilized to satisfy the obligations of the other fund.(b) Public sector self-insurers are specifically exempted from the provisions of this subchapter.(c) As used in this subchapter, 'public sector self-insurer' means a group of municipalities, a city, a county, or the state entity which directly exercises control over an employee and which pays the employee's salary. subchapter, 'public sector self-insurer' means a group of municipalities, a city, a county, or the state entity which directly exercises control over an employee and which pays the employee's salary. Acts 1991, No. 756, §§ 1, 8; 1993, No. 452, § 1; 1995, No. 825, § 2.
Arkansas Legal Code