A. "Employee leasing arrangement" means an
arrangement, under contract or otherwise, whereby one business or other entity
leases all or a significant number of its workers from another business.
Employee leasing arrangements include, but are not limited to, full service
employee leasing arrangements, long-term temporary arrangements, and any other
arrangement which involves the allocation of employment responsibilities among
two or more entities. For purposes of this rule employee leasing arrangement
does not include arrangements whereby an organization hires its own employees
and assigns them to clients for a finite period of time to support or
supplement the client's work force in special work situations such as employee
absences, temporary skill shortages and seasonal workloads.
B. "Leased employee" means a person
performing services for a lessee under an employee leasing
arrangement.
C. "Lessee" means an
entity which obtains all or part of its work force from another entity through
an employee leasing arrangement or which employs the services of an entity
through an employee leasing arrangement.
D. "Lessor" means an entity that grants an
oral or written lease to a lessee through an employee leasing arrangement. In
this rule, the lessor may also be referred to as an employee leasing
company.
E. "Multiple coordinated
policies basis" means -
(1) The following:
(a) Each lessee shall have its own policy
covering its leased employees required to be covered pursuant to the laws of
this state;
(b) If non-leased
employees of a lessee are not provided coverage pursuant to a separate policy
or pursuant to 39 M.R.S.A. §23, subsections 2 thru 11, they shall be
included on the policy required by subsection (a) above;
and
(2) All assigned risk
policies for lessees of the same employee leasing company shall be assigned to
one servicing carrier in the state and in other states to the extent possible;
and
(3) The servicing carrier shall
arrange to have the same renewal date for all such policies; and
(4) The servicing carrier shall arrange to
have all notices sent to the employee leasing company and to have a single
master invoice sent to the employee leasing company for all policies covering
the lessees of that leasing company.
(5) If a lessee leases employees from more
than one lessor, there shall be a separate policy for the leased employees of
each lessor.
(6) The servicing
carrier also shall issue a policy covering the internal employees of the
employee leasing company unless they are otherwise covered.
(7) Appropriate endorsements need to be used
to restrict the coverage to those employees of the lessor leased to the lessee
which is the subject of each policy as opposed to other lessees and to
coordinate coverage between lessees and lessor.
F. "Premium Subject to Dispute"
Premium shall be considered subject to dispute only if the
insured has provided a written notice of dispute to the insurer or service
carrier, has filed a written request for an administrative hearing or a hearing
before the committee having authority to review premium disputes, or has
initiated litigation regarding the premium dispute. The insured must have
detailed the specific areas of dispute and, to the extent possible, provided an
estimate of the premium the insured believes to be correct. The insured must
have paid any undisputed portion of the bill.
