One of BerkleyNet’s functions is to act as a servicing carrier for the residual market.
In most states, employers are required to carry workers compensation insurance. In the case that an employer can't obtain a policy through the voluntary market, they may be eligible to seek coverage through the state fund (often referred to as the Assigned Risk Plan).
BerkleyNet has agreements with individual state administrators to service their assigned risk policies and claims. Policies are assigned to BerkleyNet for service by state administrators once residual market coverage has been secured. Because these agreements are state-specific, rules and regulations for assigned risk policies vary by state.
For more information about the residual market, you may click here to visit the website of the National Council on Compensation Insurance.