What happens when a self-insured certificate is revoked?

When a self-insured certificate is revoked, the Director of the Department of Industrial Relations retains jurisdiction over the self-insured employer until all claims liabilities are exhausted. This means that even if the self-insured status is gone, the Director can continue to oversee the claims process to ensure that any outstanding obligations are met. The rationale behind this is to protect the interests of employees who may have claims arising from work-related injuries, ensuring their rights are preserved even in situations where an employer can no longer operate under self-insurance.

This answer aligns with the principles governing self-insured employers in California, which are designed to maintain claim management and resolution processes until all liabilities owed to employees are fulfilled, regardless of the employer's status. The legal framework surrounding self-insurance obligates the Director to safeguard workers’ rights to compensation, thereby necessitating ongoing oversight following revocation.