If any benefits due an employee are unpaid at the time of the employee's death, the benefits shall be payable to the employee's estate or, at the option of the carrier, may be paid to the surviving spouse, parent, child, or children of the deceased employee. Benefits that are due but are not so paid shall, after the expiration of one year from the date of employee's death, be paid into the special fund for disability benefits established pursuant to section 392-61, HRS. Upon making the payment into the special fund, the carrier shall immediately and thereafter be held harmless from all liability to the extent of the payment, and any claim thereafter for the benefits shall be filed with the director who shall determine the validity thereof.
Haw. Code R. § 12-11-44