79A.08 LEGISLATIVE INTENT.
It is the intent of the legislature in enacting sections
to provide for the
continuation of workers' compensation benefits delayed due to the failure of a private self-insured
employer to meet its compensation obligations, whenever the commissioner of commerce issues a
certificate of default or there is a declaration of bankruptcy or insolvency by a court of competent
jurisdiction. With respect to the continued liability of a surety for claims that arise under a bond
after termination of that bond and to a surety's liability for the cost of administration of claims, it
is the intent of the legislature to provide that that liability ceases upon lawful termination of that
bond. This applies to all surety bonds which are purchased by the self-insured employer after July
1, 1988. The legislature finds and declares that the establishment of the self-insurers' security fund
is a necessary component of a complete system of workers' compensation, required by chapter
176, to have adequate provisions for the comfort, health, safety, and general welfare of any and all
workers and their dependents to the extent of relieving the consequences of any industrial injury
or death, and full provision for securing the payment of compensation.
History: 1988 c 674 s 8