HOW DOES AN EMPLOYER PROVIDE TDI COVERAGE?
An employer may adopt one or more of the following methods of providing TDI benefits: • a. By purchasing insurance, called an “insured” plan, from an authorized insurance carrier. To purchase a TDI policy, refer to the List of Authorized TDI Insurance Carriers. • b. By adopting a sick leave policy, called a “self-insured” plan, which must be approved by this Division. A self-insured employer pays benefits directly to its disabled employees. As a self-insurer, the employer must show proof of financial solvency and ability to pay benefits by: 1. Furnishing this Division with the latest audited financial statements for review. Following the initial approval, the audited financial statements must be submitted annually for continued approval of the employer’s self-insured plan, or 2. Depositing securities, or 3. Posting surety bonds in an amount determined pursuant to sections 12-11-69 and 12-11-70, Hawaii Administrative Rules. • c. By a collective bargaining agreement that contains sick le
An employer may adopt one or more of the following methods of providing TDI benefits: 1. a. By purchasing insurance, called an “insured” plan, from an authorized insurance carrier. 2. b. By adopting a sick leave policy, called a “self-insured” plan, which must be approved by this Division. A self-insured employer pays benefits directly to its disabled employees. As a self-insurer, the employer must show proof of financial solvency and ability to pay benefits by: 1. Furnishing this Division with the latest audited financial statements for review. Following the initial approval, the audited financial statements must be submitted annually for continued approval of the employer’s self-insured plan, or 2. Depositing securities, or 3. Posting surety bonds in an amount determined pursuant to sections 12-11-69 and 12-11-70, Hawaii Administrative Rules. 3. c. By a collective bargaining agreement that contains sick leave benefits at least as favorable as required by the TDI Law. All plans must b
