Section 3743 Of Article 2.5. Self-insurers’ Security Fund From California Labor Code >> Division 4. >> Part 1. >> Chapter 4. >> Article 2.5.
3743
. (a) Upon order of the director pursuant to Section 3701.5,
the fund shall assume the workers' compensation obligations of an
insolvent self-insurer.
(b) Notwithstanding subdivision (a), the fund shall not be liable
for the payment of any penalties assessed for any act or omission on
the part of any person other than the fund, including, but not
limited to, the penalties provided in Section 132a, 3706, 4553, 4554,
4556, 4557, 4558, 4601.5, 5814, or 5814.1.
(c) The fund shall be a party in interest in all proceedings
involving compensation claims against an insolvent self-insurer whose
compensation obligations have been paid or assumed by the fund. The
fund shall have the same rights and defenses as the insolvent
self-insurer, including, but not limited to, all of the following:
(1) To appear, defend, and appeal claims.
(2) To receive notice of, investigate, adjust, compromise, settle,
and pay claims.
(3) To investigate, handle, and deny claims.