Tennessee trucking companies might have to pay a combined total of $7.4 million to make up a deficit in the state's worker compensation pool, which is shared by more than 50 carriers.
The Tennessee Trucking Association Self Insurance Group Trust has been declared insolvent by the Department of Commerce and Insurance, which estimates it owes $7.4 million in claims for the past two years.
An exact amount owed by truck companies will not be known until the trust's assets are liquidated, but many smaller companies may be facing individual bills as high as $100,000, according to state officials.
This deficit is high, officials said, because of several death claims that were paid out.
“The trust was dissolved December 31, but it still has obligations for persons with worker compensation claims,” said Paula Wade, a commerce department spokesperson. Carriers have since bought insurance coverage from other companies.
