Pennsylvania Statutes Title 77 P.S. Workers' Compensation § 1060. Custody and management of fund; company ceasing to do business

(1) The fund created by this act shall be separate and apart from all other Commonwealth moneys. The State Treasurer shall be the custodian of said fund, and all disbursements from said fund shall be made by the State Treasurer upon vouchers signed by the commissioner.

(2) The Insurance Commissioner and the State Treasurer jointly shall have full and exclusive power to invest moneys of the fund with that degree of judgment, skill and care under the circumstances then prevailing which persons of prudence, discretion and intelligence, who are familiar with such matters, exercise in the management of their own affairs, not related to speculation, but to the permanent disposition of the funds, considering the probable income to be derived and the probable safety of their capital. Investments shall be made in accordance with a written investment policy approved by the commissioner and the State Treasurer. The investment policy shall address liquidity, diversification, safety of principal, yield, maturity and quality and the capability of investment management with primary emphasis on safety and liquidity. The commissioner and the State Treasurer shall have the power to hold, purchase, sell, lend, assign, transfer or dispose of any: securities and investments in which moneys from the fund have been invested; proceeds from investments, including commissions which have accrued to the benefit of the fund as a result of investments; and any other assets belonging to the fund, subject to the standard of prudence established under this section.

(3) If at any time any contributing carrier, as herein defined, shall, upon due notice to the commissioner, cease to transact the business of workmen's compensation insurance, the contributions of such carrier, at the time such carrier ceases to transact the business of workmen's compensation insurance, shall be refunded, provided that all its outstanding liability on workmen's compensation insurance shall have terminated.