Section R20-5-1133. Revocation of Authorization to Self-insure

A.      The Commission may revoke a Resolution of Authorization to Self-insure for good cause. Good cause includes any of the fol- lowing:

1.        An inability or failure to process and pay any claim under the Arizona Workers’ Compensation Act;

2.        Failure of the self-insurer to pay any taxes levied by the Commission as required under A.R.S. §§ 23-961 and 23- 1065 and this Article;

3.        Failure of the self-insurer to comply with the require- ments of this Article, including the failure of the self- insurer to:

a.        Promptly provide the Commission reports or other information required under this Article; and

b.        File the written Letter of Intent required under R20- 5-1135;

4.        Failure or deliberate refusal to comply with the applicable requirements of A.R.S. § 23-901 et seq.;

5.        Failure to pay or comply with any award or order of the Commission after the award or order becomes final;

6.        Willful misstating of any material fact in a tax report, application, renewal documentation, or other report or statement made to or filed with the Commission;

7.        Failure or deliberate refusal to comply with the require- ments of 20 A.A.C. 5, Article 1;

8.        Failure to deposit or file security timely as specified in this Article; or

9.        Failure to provide information or documentation neces- sary to timely renew the Authorization to Self-insure.

B.       Upon receiving information that a self-insurer has committed an act described in subsection (A), the Division shall conduct an investigation of the facts of the alleged misconduct. If, upon completion of the investigation, the Division determines that sufficient evidence exists to warrant revocation of a self- insurer’s authority to self-insure, the Division shall present its findings to the Commission.

C.      The Commission shall consider the findings and recommenda- tion of the Division before revoking a self-insurer’s authoriza- tion to self-insure.

D.      The Commission shall revoke a self-insurer’s authority to self- insure if the Commission finds one or more of the grounds in subsection (A). The Commission shall issue written findings and an order revoking the Resolution of Authorization to Self- insure and shall serve a copy of the findings and order upon

the self-insurer addressed to the last known address of the self- insurer as shown by the records of the Commission.

E.       A self-insurer has 15 days from the date the Commission serves the findings and order described in subsection (D) to request a hearing. The request for hearing shall comply with the requirements of A.R.S. § 23-945.

F. R20-5-1130, R20-5-1131, and R20-5-1132 govern  hearing rights and procedures for revocation hearings and review.

Historical Note

New Section made by final rulemaking at 11 A.A.R.

1008, effective April 4, 2005 (Supp. 05-1).