Identify the Correct Statement About State Funds

Identify the correct statement about state funds.

A) They are concerned only with employers' liability risk.
B) Employers opting for state funds for workers' compensation have to privately insure against benefit payments under the workers' compensation law.
C) Cost comparisons between commercial insurers and state funds are very because the state fund may be subsidized.
D) It involves payment of a premium depending on the profitability of the company.
E) Employers who have access to a state fund should consider it part of the market and compare its rates with those of private insurers.