Three Separate Employers Indicted For Hiding Payroll

District Attorneys in three counties are pressing fraud charges against employers accused of hiding millions of dollars in payroll from their insurance carriers in a bid to lower their workers’ comp premiums. In one case the employer claimed to have only one full time employee, but prosecutors say they’ve found at least $1.7 million in … Read More »

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Outdated Definition Inflates Employer’s Workers’ Comp Rate

A California employer that sells and rents high-tech audio equipment to production companies, schools, churches, and others is being forced to pay a far higher rate for its workers’ comp coverage because of an outdated definition in the state’s classification system. A California Department of Insurance administrative law judge says the Workers’ Compensation Insurance Rating … Read More »

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Dramatic Expansion of Experience Rating System Floated

Changes now under consideration could double or even triple the number of experience-rated employers in California. The Workers’ Compensation Insurance Rating Bureau is researching changes that would give X-Mods to 250,000-300,000 small employers or more. The small employers are mostly claim free risks that would see a 5% credit mod, but those with workers’ comp … Read More »

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Wide Ranging Opposition To COVID-19 Surcharge

Public testimony delivered during Insurance Commissioner Ricardo Lara’s workers’ comp rate hearing and subsequently in written comments show wide-ranging opposition to the insurance industry’s proposed six-tier COVID-19 surcharge. The California Bureau filed a surcharge for all employers ranging from 1 cent to 24 cents depending upon classification. The Bureau inserted class into one of 6 … Read More »

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Farm Labor Contractor Indicted

The father, daughter team behind a Merced farm labor contractor – Agriculture Services Inc. –are due back in court next month to face five felony counts for allegedly defrauding State Compensation Insurance Fund out of some $2.5 million in workers’ comp premium. The pair is alleged to have kept two sets of books to hide … Read More »

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