Every applicant for authority to write insurance under the
provisions of this Act, shall be deemed to have included in its
application an agreement that the acceptance by the district director of
a report of the issuance of a policy of insurance, as provided for by
Sec. 703.116, shall bind the carrier to full liability for the
obligations under this Act of the employer named in said report, and
every certificate of authority to write insurance under this Act shall
be deemed to have been issued by the Office upon consideration of the
carrier's agreement to become so bound. It shall be no defense to this
agreement that the carrier failed or delayed to issue the policy to the
employer covered by this report.
[50 FR 406, Jan. 3, 1985]
