§ 28-36-6 - Employee's lien on insurer's liability Direct payment in event of insolvency.
SECTION 28-36-6
§ 28-36-6 Employee's lien on insurer'sliability Direct payment in event of insolvency. Every policy shall also provide that the employee or, in the event of hisdeath, his or her dependents, shall have a first lien upon any amount whichshall become owing on account of that policy to the employer from the insurerbecause of any personal injury, as defined in § 28-33-1, to that employee,and that in case of the legal incapacity or inability of the employer toreceive the amount and pay it over to the employee or his or her dependents,the insurer may and shall pay the amount directly to the employee or his or herdependents, thereby discharging to the extent of that payment the obligation ofthe employer to the employee or his or her dependents. No policy shall containany provisions relieving the insurer from payment because of the employer'sinability to pay on account of insolvency, bankruptcy, or otherwise, during theperiod that the policy is in force or the compensation remains owing.