Letter to Membersof the Georgia Self-Insurers Guaranty Trust Fund
Regarding Excess Policies and Changes to the 2002 Update Forms 
MEMORANDUM TO: ALL MEMBERS OF THE GEORGIA SELF-INSURERS GUARANTY TRUST FUND
FROM: JOHN P. REALE, ADMINISTRATOR
DATE: MARCH 1, 2002
RE: EXCESS POLICIES AND CHANGES TO THE 2002 UPDATE FORMS

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In light of the numerous requests submitted to the Trustees in 2001 seeking approval of unilateral changes made to excess workers' compensation policies, we thought it warranted a reminder to all self-insured members that increasing your retention level or having limits other than statutory requires prior approval by the State Board of Workers' Compensation, the body which sets excess policy limits and requirements.

Due to the reliance placed on the information you provide to the Georgia Self-Insurers Guaranty Trust Fund and the State Board of Workers' Compensation, we are now requiring that an officer, preferably the President or CFO, execute an affidavit certifying that the most recent audited financial statements are being attached and that there are no material changes in the company's financial status between the previous and current year.

Finally, as you are aware, all self-insurers are required to post a surety bond or letter of credit in an amount to be determined by the State Board of Workers' Compensation and the Georgia Self-Insurers Guaranty Trust Fund. If you post a surety bond, it is now required that the bonding company have an A. M. Best Company rating of "A" or better.