N.Y. Workers' Compensation Law § 109-c: Payments from fund

§ 109-c. Payments from fund. 1. The final award for compensation or

death benefits, or installments thereof, or of payment of benefits into

the special funds created under the provisions of subdivisions eight and

nine of section fifteen and section twenty-five-a of this chapter

heretofore or hereafter granted pursuant to this chapter, or the payment

of a claim made against an insured under the employer's liability

insurance portion of the insured's standard New York workers'

compensation and employer's liability insurance policy, which has

remained or shall remain due and unpaid for thirty days, by reason of

default by an insolvent carrier, shall be paid from the fund in the

manner provided in this section. Benefits or compensation pursuant to

the longshore and harbor workers' compensation act shall be payable only

with respect to coverage of risks located or resident in this state;

provided further that the insolvency, bankruptcy or dissolution of the

insured shall effect a termination of security fund benefits provided

hereunder. The chairman or any person in interest may file with the

superintendent of financial services an application for payment of

compensation or death benefits, special fund benefits or liability

claims from the fund on a form to be prescribed and furnished by the

superintendent. If there has been an award, final or otherwise, a

certified copy thereof shall accompany the application. The

superintendent of financial services shall thereupon certify to the

commissioner of taxation and finance such award for payment according to

the terms of the same.

2. Payments from the fund shall be made by the commissioner of

taxation and finance on the said certificate of the superintendent of

financial services, and no payment shall be made by the commissioner of

taxation and finance in excess of the amount certified.

3. Payment of the award from the fund shall not give the fund any

right of recovery against the employer.

4. An employer may pay any such award or part thereof in advance of

payment from the fund and shall thereupon be subrogated to the rights of

the employee or other party in interest against such fund to the extent

of the amount so paid.

5. The commissioner of taxation and finance as custodian of the fund

shall be entitled to recover the sum of all liabilities, including loss

adjustment expenses relating to such liabilities, of such insolvent

carrier assumed by such fund from such carrier, its receiver,

liquidator, rehabilitator or trustee in bankruptcy and may prosecute an

action or other proceedings therefor. All moneys recovered in any such

action or proceedings shall forthwith be placed to the credit of the

fund by the commissioner of taxation and finance to reimburse the fund

to the extent of the moneys so recovered and paid.

6. The provisions of section twenty-six of this chapter shall not

apply in the case of a failure to pay any compensation when due by

reason of the default, after the effective date of this article, of an

insolvent carrier as defined in this article, and the provisions of

section thirty-four of this chapter shall not apply to compensation

insured by any carrier as defined in this article if the compensation is

paid by the fund.