Which provision provides for continuation of workers' compensation benefits when the private self-insured ER's security deposit is inadequate or not immediately accessible?

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Multiple Choice

Which provision provides for continuation of workers' compensation benefits when the private self-insured ER's security deposit is inadequate or not immediately accessible?

Explanation:
When a private self-insured employer’s security deposit is insufficient or not readily accessible, there is a safeguard to keep benefits flowing to injured workers. This provision ensures continuation of workers' compensation benefits, so payments are not halted while the funding issue is resolved. It provides a backstop that maintains ongoing benefits even if the employer’s immediate resources are inadequate, protecting workers from gaps in coverage. This is the best choice because it directly addresses the risk—interruption of benefits due to the security deposit problem—by guaranteeing that benefits continue. The other options don’t fit the situation: suspending benefits would leave workers without coverage, immediate payment of all benefits isn’t practical when funds are limited, and recovery from the employer’s assets is something that would come after ensuring ongoing payments, not a mechanism to maintain them in the short term.

When a private self-insured employer’s security deposit is insufficient or not readily accessible, there is a safeguard to keep benefits flowing to injured workers. This provision ensures continuation of workers' compensation benefits, so payments are not halted while the funding issue is resolved. It provides a backstop that maintains ongoing benefits even if the employer’s immediate resources are inadequate, protecting workers from gaps in coverage.

This is the best choice because it directly addresses the risk—interruption of benefits due to the security deposit problem—by guaranteeing that benefits continue. The other options don’t fit the situation: suspending benefits would leave workers without coverage, immediate payment of all benefits isn’t practical when funds are limited, and recovery from the employer’s assets is something that would come after ensuring ongoing payments, not a mechanism to maintain them in the short term.

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