44-543. Election by certain employees.

44-543

Chapter 44.--LABOR AND INDUSTRIES
Article 5.--WORKERS COMPENSATION

      44-543.   Election by certain employees.(a) As used in this section:

      (1)   "Nonprofit organization" means those nonprofit organizations exempt fromfederal income tax pursuant to section 501(c) of the internal revenue code of1986, as in effect on the effective date of this act.

      (2)   "Compensation" does not include actual and necessary expenses that areincurred by a volunteer officer, director or trustee in connection with theservices that the volunteer performs for a nonprofit organization and that arereimbursed to the volunteer or otherwise paid.

      (3)   "Volunteer officer, director or trustee" means an officer, director ortrustee who performs services for a nonprofit organization but does not receivecompensation, either directly or indirectly, for those services.

      (b)   Any employee of a corporate employer who owns10% ormoreof the outstanding stock of such employer, may file with the director,prior to injury, a written declaration that the employee elects notto accept theprovisions of the workers compensation act, and at the sametime, the employeeshall file a duplicate of such election with the employer. Such electionshall be valid only during the employee's term of employment withsuch employer. Anyemployee so electing and thereafter desiring to change theemployee's election may doso by filing a written declaration to that effect with the director and aduplicate of such election with the employer. Any contract in which anemployer requires of an employee as a condition of employment that theemployee electnot to come within the provisions of the workers compensationact, shallbe void. Any written declarations filed pursuant to this section shall bein such form as may be required by regulation of the director.

      (c)   Any noncompensated volunteer officer, director or trustee of anonprofit corporation as defined in clause 3 of subsection (a) may elect tobe covered by the provisions of the workers compensation act by filing withthe director, prior to injury, a written declaration that the officer, directoror trustee elects to accept the provisions of the workers compensation act, andat the same time, the person shall file a duplicate of such election with theemployer and the employer's insurance company or qualified group-funded workerscompensation pool.

      History:   L. 1927, ch. 232, § 51; L. 1959, ch. 221, § 1; L. 1961, ch. 243, §11; L. 1974, ch. 203, § 38;L. 1996, ch. 79, § 11; Apr. 4.