Salem, OR – The Department of Consumer and Business Services (DCBS) recently announced that on Monday it suspended the process to decertify the Oregon Employers Trust, Inc., pending investigation of other issues.
The suspension came after the trust submitted a letter of credit from a bank that satisfies a state requirement to increase its security deposit from $3.2 million to $3.95 million. The group had until Aug. 7 to provide the larger deposit or face the loss of a certificate to operate as a self-insured group.
The security deposit helps ensure the trust can pay benefits to workers facing job-related injuries or illnesses. The state required an increase in the amount based on growth in the trust’s membership as well as its recent claims experience.
Monday’s development means that employers no longer face the Aug. 8 deadline to obtain other workers’ compensation coverage, Workers’ Compensation Division Administrator John Shilts said.
More information about the trust can be found at www.wcd.oregon.gov.
Source: OR DCBS