New York Self-Insurer Disability Benefits Law Bond
What is a New York Self-Insurer Disability Benefits Law Bond?
This bond is required to ensure the conformity of the individual self-insurer or group self-insurer to the Disability Benefits Law. Listed below are some of the obligations of the self-insurer:
- Promptly pay the disability benefits of the employees.
- Insuring the payment of disability benefits in the state fund
- Provide satisfactory proof to the chair of the employers the financial ability to pay the benefits owed to the employees
This requirement is in pursuance of Chapter 600 of the Laws of New York, 1949, known as the Disability Benefits Law and Sec. 211, subdivision 3 of said Disability Benefits Law.
How much does a New York Self-Insurer Disability Benefits Law Bond cost?
This varies per self-insurer. Bond premium is based on the self-insurer’s credit score and bond amount.
The bond amount will be determined by the Chairman of the Workers' Compensation Board of the State of New York. To prevent your bond from getting rejected by the Board, it is important that you clarify your bond amount from the Board before you apply for this bond.
You can GET YOUR FREE BOND PREMIUM QUOTE HERE once you have determined your bond amount.
How can I get a New York Self-Insurer Disability Benefits Law Bond?
Easy and convenient Self-Insurer Disability Benefits Law Bond starts HERE!
Once we’ve received the application, the next step would be the prequalification or underwriting process.
An underwriter will then evaluate the following:
- Your financial strength
- Your job/business performance history
- Your credit score
Once the prequalification process is fulfilled, you will be asked to sign an indemnity agreement. Once signed, we will execute the bond and send it to you!
Our expert surety bond agents will guide you through the whole process from the time you applied for the bond. We’ll make sure that you understand all the conditions before you apply.
How does a New York Self-Insurer Disability Benefits Law Bond work?
This bond will serve as legal agreement among three parties:
Principal – individual or group self-insurer
Obligee – Chairman of the Workers' Compensation Board of the State of New York
Surety – Surety bond provider
Through this bond, the Surety is guaranteeing that the Principal will faithfully and honestly perform his or her legal obligations. The Surety will also extend its credit to the Principal in case the Principal fails to pay the sums due to an individual or group of individuals.
If such happens, those who will be harmed can file a claim against the bond for the purpose of recovering the amount that the Principal failed to pay. The claim will first be verified by the Surety before it is settled. Once the Surety has settled the claim, the Principal will reimburse the Surety for the payments made.
You can apply any time of the day. Start your application process HERE!