The proposed bill amends section 23-1091 of the Arizona Revised Statutes regarding workers' compensation by adding specific conditions under which an employer may be denied entry into the assigned risk plan after being refused coverage by two or more insurers. Currently, an employer can be placed in the assigned risk plan without any stipulations if they are denied coverage. The new bill introduces three criteria that, if present at the time of application, would disqualify the employer from being placed in the assigned risk plan.

The new conditions include: (1) the employer's failure to meet health and safety or audit requirements, or not allowing access to records for audits; (2) having an outstanding premium due on a workers' compensation policy that is not in dispute; and (3) knowingly failing to comply with application procedures or making material misrepresentations on the application. These changes aim to ensure that only employers who meet certain standards can access the assigned risk plan, thereby potentially reducing risks for insurers.

Statutes affected:
Introduced Version: 23-1091