All active self-insured employers must have security on file with the Georgia Self-Insurers Guaranty Trust Fund in the form of a surety bond or letter of credit, using the language approved by the Georgia Self-Insurers Guaranty Trust Fund. NO DEVIATIONS WILL BE ACCEPTED.
To ensure that all companies to be covered by a member’s self-insurance program are included on both the security, the following is required:
- If the parent company and its subsidiaries/affiliates are self-insured under the parent’s name, it is required that the language, “and self-insured subsidiaries and affiliates, if any” be placed after the parent company’s name in the “employer” section. It is no longer permissible to list individual subsidiaries and affiliates.
For copies of the approved language for letters of credit and the surety bond form along with detailed instructions for the issuance of both forms of security, please see the “Forms” section of this site. PLEASE NOTE: Letters of credit must be issued or confirmed by a Georgia depository. NO EXCEPTIONS WILL BE GRANTED.
The amount of the required security is stated on an Order issued by the State Board of Workers' Compensation. For information related to the setting of security requirements, please see the “News” section of this site for discussion dated 10/14/2003 or the formula for the calculation of security link for this section.
Cancelled members are required to keep security on file for a minimum of two (2) years from the closure of their last claim and cancelled for at least two (2) years. Also, the employer cannot have made any payments during the last twelve (12) months and the employer must confirm that they have not received any unpaid medical invoice(s) over this same period.