The organization responsible for providing workers' compensation insurance to more than 200 Oregon companies is in trouble with state officials.

The Department of Business and Consumer Services says the Oregon Employers Trust is $750,000 short of the nearly $4 million it should have to cover long-term workers' comp liability.

Risk managers with the trust say they can cover a lower amount recommended by their independent actuary.

The state has given the trust until August 8th to replenish the fund.

State administrator John Shilts says if the trust falls short and is decertified, companies could be liable.

"They're going to end up being directly responsible for all the costs on that claim - the administration of the claim, there'd be a civil penalty...Employers in the state of Oregon are required to have workers' compensation insurance in place, because unfortunately accidents do occur, workers do get injured," Shilts said.

The state denied the trust's extension request. The trust is working to either sell a suretybond, or have its board members raise the required funds.

This story originally appeared on Oregon Public Broadcasting.

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