State Fund 2009 Annual Report Report Focuses on Financials and Relationships

State Compensation Insurance Fund released this week its 2009 Annual Report, which shows another year of solid financial performance for California’s largest workers’ compensation provider.
 
The report focuses on how State Fund is on the job for California, protecting employers and workers by highlighting the work of five State Fund employees and the productive relationships they share with customers and stakeholders.
 
Despite widespread economic challenges, State Fund maintains extraordinary financial strength through a combination of a strong reserve position, solid financials, and a conservative and steady-handed investment strategy.
 
Financial highlights of the 2009 report include:
 

  • Recorded net income of $143 million, up from $75 million for the prior year.
  • An increase of $161 million in policyholders’ surplus.
  • A strengthened balance sheet and capital base resulting from a strong investment portfolio that earned an NAIC 1 rating (the highest rating given by the National Association of Insurance Commissioners to investments.)

 
State Fund ended 2009 with $1.25 billion in net premium earned, compared to $1.66 billion in 2008.  Net investment income was $912 million compared to $896.2 million in 2008. Its assets base was valued at $20.6 billion down from $21.1 billion in 2008.