News: 2010 Press Release

Insurance Commissioner Steve Poizner announced today nearly $30 million in grants to local district attorneys to be used to find and prosecute workers' compensation insurance fraud.

"Workers' compensation insurance fraud creates costs that are a burden on our economy at the time it can least sustain it," said Commissioner Poizner. "We must care for injured workers so they get the timely medical care they need and return to work, but for those bilking the system will be caught and prosecuted."

Funding for the grants is the result of an assessment on employers as determined by the Fraud Assessment Commission. Counties apply annually for these grants. The applications are reviewed by the Workers' Compensation Grant Review Panel based on a number of criteria, including the previous year's performance. The panel makes a recommendation to the Insurance Commissioner who can accept or amend the panel's recommendation. At that point, the Insurance Commissioner's final decision must be ratified by the Fraud Assessment Commission.

These grants are still subject to approval in the final state budget. Below is a chart of the funds distributed to the various counties.

	Workers' Comp Fraud Grants FY 2010-11
Alameda	$1,273,874
Amador	$425,000
Butte	$200,000
Contra Costa	$625,000
El Dorado	$275,000
Fresno	$1,180,000
Humboldt	$235,000
Imperial	$45,000
Kern	$687,065
Kings	$282,673
Los Angeles	$5,000,000
Madera	$42,000
Marin	$200,000
Mendocino	$46,653
Merced	$140,000
Monterey	$520,000
Napa	$85,000
Orange	$3,190,000
Riverside	$1,225,000
Sacramento	$900,000
San Bernardino	$2,173,413
San Diego	$4,825,000
San Francisco	$800,000
San Joaquin	$580,000
San Mateo	$525,000
Santa Barbara	$290,000
Santa Clara	$2,153,365
Santa Cruz	$120,000
Shasta	$150,000
Siskiyou	$26,170
Solano	$175,000
Sonoma	$98,735
Tehama	$65,000
Tulare	$313,937
Ventura	$724,615
Yolo	$230,000
TOTAL	$29,827,500

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commissioner Poizner has worked to ensure an efficient and effective workers' compensation insurance market. He has rejected multiple requests for double-digit increases in the Workers' Compensation Cost Claims Benchmark. Last year, he released a top-down review of the Workers' Compensation Insurance Rating Bureau and an audit of State Fund, the state's largest workers' compensation insurance company. Both reviews included specific recommendations that would make the organizations more proficient and successful at their duties.