|Newsline No. 58-09||Printer friendly|
Nov. 23, 2009
Division of Workers’ Compensation posts fund assessment rates for fiscal year 2009/10 on its Web site
The CA Division of Workers’ Compensation (DWC) has posted the fiscal year 2009-2010 assessment rates for the Workers' Compensation Administration Revolving Fund (WCARF) and other funds on its Web site. Insurance companies and self-insured employers will also receive assessment notices in the mail. The assessments are authorized by Labor Code section 62.5 and 62.6.
Legislation in 2009 created a new fund to be included with the annual assessment. The Labor Enforcement and Compliance Fund (LECF) provides a stable funding source for the Division of Labor Standards Enforcement (DLSE), which enforces minimum labor standards and the statutory requirement to carry workers’ compensation insurance.
In addition to fully funding the work of the DWC, and partially funding the work of Cal/OSHA and DLSE, Labor Code section 62.5 requires insurers to collect money from employers to fund antifraud efforts by the California Department of Insurance and local district attorneys, pay benefits to injured workers whose employers were illegally uninsured, and provide compensation to injured workers who already had a disability or impairment at the time of injury. Therefore, the assessment covers the following funds:
Insurers must pay the funding due to the state for policy holders and recover those funds from policy holders through workers’ compensation policy surcharges and assessments.
The division mailed letters and invoices to insurers and self-insured employers today, showing the share of the assessments and surcharges due. Insurers or self-insured employers with questions should call DWC Staff Services Manager Amadeo Urbano at (510) 286-7083 or DWC Analyst Naomi Carter at (510) 286-7087 for more information.