Nev. Admin. Code § 616B.471 - Purchase of annuity for payment of claim
1. Except as
otherwise provided in subsection 11, a self-insured employer may purchase an
annuity payable to an employee who has filed a claim pursuant to chapters 616A
to 617, inclusive, of NRS, or to the employee's beneficiary, for the
compensation owed to the employee as a result of an industrial injury or
occupational disease, except accident benefits, if:
(a) The annuity is purchased from an insurer
authorized to do business in this State;
(b) The employee or the beneficiary is the
annuitant and all payments made pursuant to the annuity will be made directly
to the employee or the beneficiary; and
(c) The purchase of the annuity by the
self-insured employer on behalf of the employee is made to provide compensation
owed to the employee or the beneficiary pursuant to chapters 616A to 617,
inclusive, of NRS.
2. The
purchase of an annuity pursuant to this section does not:
(a) Settle the employee's claim for
compensation;
(b) Prohibit the
employee from reopening or contesting the claim; or
(c) Transfer the responsibility of the
self-insured employer to provide, in a timely manner, accurate payments of
compensation owed to the employee to the insurer or any other party.
3. Each contract for an annuity
purchased pursuant to this section must set forth the provisions of subsections
1 and 2.
4. An annuity purchased
pursuant to this section may not be assigned.
5. A self-insured employer who purchases an
annuity pursuant to this section shall make all payments required for the
purchase of the annuity.
6. The
amount of the total payments made to an employee pursuant to an annuity
purchased pursuant to this section may not be less than the amount of
compensation, other than accident benefits, owed to the employee pursuant to
chapters 616A to 617, inclusive, of NRS.
7. A self-insured employer who purchases an
annuity pursuant to this section:
(a) Shall
classify the purchase of the annuity as an amount paid for indemnity;
and
(b) May reduce his or her
reserve balance for indemnity for the claim by the amount of compensation owed
to the employee pursuant to chapters 616A to 617, inclusive, of NRS for the
period covered by the annuity.
8. A self-insured employer shall submit to
the Administrator and the Commissioner a report which sets forth each annuity
he or she purchased, if any, in the preceding year. The self-insured employer
shall provide the following information for each annuity listed in the report:
(a) The name of the employee on whose behalf
the annuity was purchased;
(b) The
number assigned to the claim by the self-insured employer;
(c) The number of the contract for the
annuity;
(d) The amount paid for
the annuity; and
(e) The name of
the insurer who issued the annuity.
9. A self-insured employer shall submit the
report required pursuant to subsection 8 to:
(a) The Administrator upon the request of the
Administrator; and
(b) The
Commissioner with the annual report required of self-insured employers pursuant
to NAC 616B.460.
10. An
insurer who sells an annuity to a self-insured employer pursuant to this
section shall, within 10 days after the contract for the annuity is executed,
submit a copy of that contract to the Administrator, the Commissioner and the
self-insured employer.
11. A
self-insured employer may, upon the approval of the Commissioner, purchase an
annuity to pay the accident benefits owed to an employee incurred as a result
of an industrial injury or occupational disease.
Notes
NRS 616A.400
State regulations are updated quarterly; we currently have two versions available. Below is a comparison between our most recent version and the prior quarterly release. More comparison features will be added as we have more versions to compare.
1. Except as otherwise provided in subsection 11, a self-insured employer may purchase an annuity payable to an employee who has filed a claim pursuant to chapters 616A to 617, inclusive, of NRS, or to the employee's beneficiary, for the compensation owed to the employee as a result of an industrial injury or occupational disease, except accident benefits, if:
(a) The annuity is purchased from an insurer authorized to do business in this State;
(b) The employee or the beneficiary is the annuitant and all payments made pursuant to the annuity will be made directly to the employee or the beneficiary; and
(c) The purchase of the annuity by the self-insured employer on behalf of the employee is made to provide compensation owed to the employee or the beneficiary pursuant to chapters 616A to 617, inclusive, of NRS.
2. The purchase of an annuity pursuant to this section does not:
(a) Settle the employee's claim for compensation;
(b) Prohibit the employee from reopening or contesting the claim; or
(c) Transfer the responsibility of the self-insured employer to provide, in a timely manner, accurate payments of compensation owed to the employee to the insurer or any other party.
3. Each contract for an annuity purchased pursuant to this section must set forth the provisions of subsections 1 and 2.
4. An annuity purchased pursuant to this section may not be assigned.
5. A self-insured employer who purchases an annuity pursuant to this section shall make all payments required for the purchase of the annuity.
6. The amount of the total payments made to an employee pursuant to an annuity purchased pursuant to this section may not be less than the amount of compensation, other than accident benefits, owed to the employee pursuant to chapters 616A to 617, inclusive, of NRS.
7. A self-insured employer who purchases an annuity pursuant to this section:
(a) Shall classify the purchase of the annuity as an amount paid for indemnity; and
(b) May reduce his or her reserve balance for indemnity for the claim by the amount of compensation owed to the employee pursuant to chapters 616A to 617, inclusive, of NRS for the period covered by the annuity.
8. A self-insured employer shall submit to the Administrator and the Commissioner a report which sets forth each annuity he or she purchased, if any, in the preceding year. The self-insured employer shall provide the following information for each annuity listed in the report:
(a) The name of the employee on whose behalf the annuity was purchased;
(b) The number assigned to the claim by the self-insured employer;
(c) The number of the contract for the annuity;
(d) The amount paid for the annuity; and
(e) The name of the insurer who issued the annuity.
9. A self-insured employer shall submit the report required pursuant to subsection 8 to:
(a) The Administrator upon the request of the Administrator; and
(b) The Commissioner with the annual report required of self-insured employers pursuant to NAC 616B.460.
10. An insurer who sells an annuity to a self-insured employer pursuant to this section shall, within 10 days after the contract for the annuity is executed, submit a copy of that contract to the Administrator, the Commissioner and the self-insured employer.
11. A self-insured employer may, upon the approval of the Commissioner, purchase an annuity to pay the accident benefits owed to an employee incurred as a result of an industrial injury or occupational disease.
Notes
NRS 616A.400