OAR 836-043-0068
Cancellation

(1)

The servicing carrier may cancel a policy after its issuance, with the approval of the Insurance Commissioner, for any of the reasons stated in this section. The servicing carrier must first provide an opportunity for cure and must file the reasons for cancellation with the Insurance Commissioner for necessary approval before issuance of the cancellation notice and inform the Plan Administrator of the reason for the cancellation. A proposed cancellation shall be deemed approved unless disapproved by the Insurance Commissioner on or before the 15th day after the servicing carrier filed the reasons for cancellation. A servicing carrier may initiate cancellation when the employer:

(a)

Has failed to comply with reasonable health, safety or audit requirements;

(b)

Has violated any of the terms and conditions under which the insurance was issued;

(c)

Is not eligible for workers’ compensation insurance under the Plan;

(d)

Refuses to allow the servicing carrier or NCCI reasonable access to its facilities or its files and records for audit or inspection;

(e)

Refuses to disclose to the servicing carrier the full nature and scope of the employer’s exposure;

(f)

Has had the employer’s worker leasing company license denied, revoked or suspended; or

(g)

The employer does not properly report changes in ownership.

(2)

The servicing carrier may cancel a policy without the approval of the Insurance Commissioner when cancellation is for any of the following reasons:

(a)

Nonpayment of Plan premium, except that a servicing carrier must provide a minimum of 10 days’ notice of additional premium owed prior to the obligation becoming past due;

(b)

Failure to complete, submit and pay a payroll report due the insurer, if the insurer has given the employer the following notice:
Important Notice: This Policy is subject to periodic payroll reporting. Reports will be sent to you in accordance with the section entitled “Reporting Frequency” on the Information Page of your policy. Your failure to complete, submit and pay these reports to the insurance company when due may result in cancellation of your policy.

(c)

Nonpayment of a premium finance agreement, as defined in ORS 746.405 (Definitions for ORS 746.405 to 746.530) with notice pursuant to ORS 656.427 (Termination of workers’ compensation insurance contract or surety bond liability by insurer); or

(d)

The employer properly reported changes in ownership.

(3)

An insured employer whose coverage is canceled as provided in this rule must reestablish eligibility or must demonstrate entitlement to the Plan Administrator before any further assignment can be made under the Plan.

(4)

If an employer fails or refuses to file any report of payroll required by the servicing carrier, the servicing carrier may estimate the payroll and make demand for premiums due thereon. If the required report and the premium due thereon are not received within ten days of actual notice of demand, the employer shall be considered in default of premium payment.

(5)

The servicing carrier shall keep the Plan Administrator fully informed of any cancellation and of any reestablishment of eligibility or of compliance by the employer. Any employer whose coverage is cancelled must reestablish eligibility or demonstrate eligibility for coverage under this Plan to the Plan Administrator before the Plan Administrator may make any further assignment under the Plan.

Source: Rule 836-043-0068 — Cancellation, https://secure.­sos.­state.­or.­us/oard/view.­action?ruleNumber=836-043-0068.

836–043–0001
Statutory Authority 836–043–0005
Definitions for the Workers’ Compensation Insurance Plan 836–043–0009
Participation by Insurers and Insurance Producers 836–043–0017
Plan Administrator 836–043–0021
Servicing Carriers 836–043–0024
Right to Apply 836–043–0028
Application by Electronic Transmission or Telephone 836–043–0032
Nonelectronic Application 836–043–0034
Surety Bonds 836–043–0041
Application Review 836–043–0044
Binding Coverage 836–043–0046
Rates and Forms, Policy Term, Additional Coverages and Other Provisions 836–043–0048
Additional States’ Coverage 836–043–0050
Interstate Assignments 836–043–0053
Premium Obligations 836–043–0056
Insurer Cancellation and Nonrenewal of Workers’ Compensation Insurance Policies or Surety Bonds 836–043–0060
Assignment Formula 836–043–0062
Issuance and Continuation of Policy 836–043–0064
Renewal, Nonrenewal 836–043–0066
Reassignment 836–043–0068
Cancellation 836–043–0071
Dispute Resolution Procedures 836–043–0072
Voluntary Coverage 836–043–0076
Takeout Credit 836–043–0079
Notification of Outstanding Premium 836–043–0082
Policyholder Services 836–043–0087
Producer Changes and Compensation 836–043–0089
Confidentiality of Information 836–043–0091
Self-Funded Plan 836–043–0101
Statutory Authority 836–043–0105
Definitions 836–043–0110
Insurer Premium Audit Program 836–043–0115
Insurer Audit Procedure Guide 836–043–0120
Minimum Standards of Insured Education Program 836–043–0125
Purpose 836–043–0130
Selection of Risks for Test Audit 836–043–0135
Test Audits 836–043–0145
Disposition of Test Audits 836–043–0150
Summary of Test Audit Results 836–043–0155
Test Audit Standards 836–043–0165
Monitoring Audit Program System 836–043–0170
Premium Audit Hearings 836–043–0175
Statutory Authority 836–043–0180
Definitions 836–043–0185
Insurer Classification Notice 836–043–0200
Statutory Authority 836–043–0210
Definitions 836–043–0220
Committee Participation 836–043–0230
Committee Operating Rules 836–043–0240
Committee Activities 836–043–0300
Qualifications for Workers’ Compensation Rating Oganizations 836–043–0310
Exchange of Data Among Workers’ Compensation Rating Organizations 836–043–0320
Competitive Selection Process
Last Updated

Jun. 24, 2021

Rule 836-043-0068’s source at or​.us