1. (a) An agreement between a general contractor and a subcontractor made in accordance with the Texas Workers' Compensation Act (the Act), §3.05(e) or (l), shall:

   1. (1) be in writing;
   2. (2) state that the subcontractor and the subcontractor's employees are employees of the general contractor for the sole purpose of workers' compensation coverage;
   3. (3) indicate whether the general contractor will make a deduction for the premiums;
   4. (4) specify whether this is a blanket agreement or if it applies to a specific job location and, if so, list the location;
   5. (5) contain the signatures of both parties; and
   6. (6) indicate the date the agreement was made, the term the agreement will be effective, and the estimated number of workers affected by the agreement.
2. (b) The workers' compensation insurance coverage provided by the general contractor under the agreement shall take effect no sooner than the date on which the agreement was executed and deductions for the premiums shall not be made for coverage provided prior to that date.
3. (c) The general contractor shall file a copy of the agreement with the general contractor's workers' compensation insurance carrier and the commission within 10 days of the date of execution. If a general contractor and subcontractor enter into a written agreement in which the subcontractor assumes the responsibilities of an employer, as provided in the Act, §3.05(c), the general contractor shall provide a copy of the agreement to its carrier within 10 days of execution. After January 1, 1993, a general contractor who is a certified self-insurer shall file a copy of the agreement with the Division of Self-Insurance Regulation within 10 days of the date of execution. Filing shall be made with the commission by personal delivery, registered, or certified mail.
4. (d) The general contractor shall be required to give the subcontractor's employees the notice required under the Act, §3.24(c), when such an agreement is made.
5. (e) A person who fails to file this agreement may be assessed an administrative penalty up to $5,000.
6. (f) If a subcontractor makes an agreement in accordance this rule, an employee of the subcontractor may elect to retain his common law rights as provided by the Act, §3.08.

Source Note:The provisions of this §112.101 adopted to be effective February 27, 1991, 16 TexReg 985.