34A-2-201.3. Direct payments prohibited except by self-insured employer.
(1) An employer who is not a self-insured employer, as defined in Section, may not pay a benefit provided for under this chapter and, directly: 34A-2-201.5 Chapter 3, Utah Occupational Disease Act to an employee; or for the employee.
(2) Subject to, if the division finds that an employer is violating or has violated Subsection, the division shall send written notice to the employer of the requirements of this section and Section. Title 63G, Chapter 4, Administrative Procedures Act (1) 34A-2-201 The division shall send the notice described in Subsectionto the last address on the records of the commission for the employer. (2)(a)
(3) If, after the division mails the notice required by Subsectionto an employer, the employer again violates Subsection, the division may impose a penalty against the employer of up to $1,000 for each violation. (2) (1) If, after the division imposes a penalty under Subsectionagainst the employer, the employer again violates Subsection, the division may impose a penalty of up to $5,000 for each violation. (3)(a) (1)
(4) The division shall deposit a penalty imposed under Subsectioninto the Uninsured Employers' Fund created by Sectionto be used for the purposes of the Uninsured Employers' Fund specified in Section. (3) 34A-2-704 34A-2-704 The administrator of the Uninsured Employers' Fund shall collect money required to be deposited into the Uninsured Employers' Fund under this Subsectionin accordance with Section. (4) 34A-2-704
(5) A penalty under this section is in addition to any other penalty imposed under this chapter or, against an employer who fails to comply with Section. Chapter 3, Utah Occupational Disease Act 34A-2-201
(6) In accordance with, the commission shall adopt rules to implement this section. Title 63G, Chapter 3, Utah Administrative Rulemaking Act