LD 274
pg. 14
Page 13 of 38 An Act to Correct Errors and Inconsistencies in the Laws of Maine Page 15 of 38
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LR 1
Item 1

 
(ii)__Federal income tax Form 1120S,
Schedule K-1;

 
(iii)__Federal income tax Form 1065,
Schedule K-1;

 
(iv)__A workers' compensation insurance
audit or evidence of a waiver of benefits
under Title 39-A;

 
(v)__A description of operations in a
commercial general liability insurance
policy or equivalent insurance policy
providing coverage for the business; or

 
(vi) A signature card from a financial
institution or credit union authorizing the
employee to sign checks on a business
checking or share draft account that is at
least 6 months old; a notarized affidavit
from the employer describing the duties of
the employee and the average number of
hours worked by the employee and attesting
that the employer is not defrauding the
carrier and is aware of the consequences of
committing fraud or making a material
misrepresentation to the carrier, including
a loss of coverage and benefits; and, if
the group coverage is purchased through a
producer, a notarized affidavit from the
producer affirming the producer's belief
that the employer qualifies as an eligible
group for coverage.

 
In determining if a new business or a business that adds an
owner or a new employee to payroll during the course of a year
qualifies as an eligible group for 2-person coverage under
this subparagraph, the employer must submit an affidavit
stating that all employees meet the criteria in this
subparagraph and that the documentation and forms required
under this subparagraph will be provided to the carrier when
payroll records become available, when ownership distribution
forms become available or the first renewal date of the
coverage, whichever date is earlier. A false affidavit or
misrepresentation on an affidavit submitted by an employer may
result in the loss of group coverage and repayment of claims
paid. This subparagraph may not be construed to prohibit a
carrier from recognizing an employer as an eligible


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