WHAT IS THE FLORIDA SELF-INSURERS GUARANTY ASSOCIATION, INC.?

A private, nonprofit corporation established by Section 440.385, Florida Statutes, which is responsible for guaranteeing that injured workers of insolvent self-insurers continue to receive their benefits. All self-insurers other than governmental entities and public utilities are required to be members of the Association.

WHAT IS SELF-INSURANCE FOR WORKERS’ COMPENSATION?

Section 440.38(1)(b), Florida Statutes, allows the Division of Workers’ Compensation to permit an employer to pay compensation directly to its employees upon furnishing proof to the Florida Self-Insurers Guaranty Association, Inc. that the employer has the financial strength necessary to ensure timely payment of all current and future claims.

HOW DOES AN EMPLOYER QUALIFY FOR SELF-INSURANCE?

An employer who wants to qualify for self-insurance must obtain an application (Form DFS-F2-SI-1) from the Florida Self-Insurers Guaranty Association, Inc. (FSIGA). The application should be mailed to FSIGA, along with all items required by the application. To be considered for individual self-insurance, a company must have three (3) years of financial statements prepared in accordance with Generally Accepted Accounting Principles, the most recent of which must be audited in accordance with Generally Accepted Auditing Standards and show a minimum net worth of the greater of $10,000,000 or three times standard premium. After receiving the application FSIGA will review the application for completeness and will determine whether the applicant has the financial strength necessary to ensure timely payment of all current and future claims. FSIGA will make a recommendation of approval or denial to the Department of Financial Services.