12-2626.   Application for membership in pool; written notice; approval;termination orcancellation of participation.(a) After the inception date of the group-funded pool,prospective new members of the pool shall submit an applicationfor membership to the board of trustees or its administrator. The trusteesmay approve the application for membership pursuant to the bylaws of thepool.

      (b)   Before the time that membership in a group funded pool is granted, theapplicant for such membership shall be provided a written notice stating that:(1) The group funded pool is not an insurance company subject to the generallaws and rules and regulations relating to insurance companies; and (2) thegroup funded pool is subject to separate regulation by the Kansas insurancedepartment as authorized by state statute and cannot commence or continueoperations without a certificate of authority. Such authorization does notconstitute an endorsement or recommendation of the coverage provided.

      (c)   Individual members may elect to terminate theirparticipation in apool or be subject to cancellation by the pool pursuant to the bylaws ofthe pool. On termination or cancellation of a workers' compensationmember, the pool shall notifythe division of workers' compensation within 10 days and shall maintaincoverage of each cancelledor terminating member for 30 days after notice to such division or untilsuch division gives notice that the cancelled or terminating member hasprocured workers' compensation and employers' liability insurance, whicheveroccurs first.

      History:   L. 1987, ch. 74, § 11;L. 1991, ch. 60, § 5; May 23.