CDI Announces Grants to Law Enforcement to Fight Workers' Comp Fraud

Insurance Commissioner Dave Jones today announced nearly $32 million in grants to District Attorneys across the state to assist them with the investigation and prosecution of workers’ compensation insurance fraud.

“Workers’ compensation insurance fraud is a costly problem in California,” said Commissioner Dave Jones. “As the economy struggles to recover, fraud of this type creates an additional strain on the system. We must protect those injured workers who need care and compensation so they can return to work in a timely manner and bring to justice those who seek to cheat the system.”

The grant funding is the result of assessments on California employers that are determined annually by the Fraud Assessment Commission. Counties submit applications to the Department, which convenes the Workers’ Compensation Grant Review Panel who then reviews and makes funding recommendations based on multiple criteria including previous year performance. The panel then forwards a recommendation to the Insurance Commissioner who either accepts or amends the panel’s recommendation. Once completed, the Commissioner’s recommendation is submitted to the Fraud Assessment Commission for their advice and consent.

The grants are subject to approval in the final state budget (FY 2011-12). Below is a list of funding to the counties:

Insurance Commissioner's Funding Recommendation

2011-12 - Potential Spending Authority

Alameda

$1,400,000

Amador

$431,569

Butte

$200,000

Contra Costa

$575,000

El Dorado

$330,000

Fresno

$1,240,529

Humboldt

$175,000

Imperial

$51,200

Kern

$760,000

Kings

$275,297

Los Angeles

$5,700,000

Marin

$238,000

Merced

$140,000

Monterey

$520,000

Napa

$119,000

Orange

$3,500,000

Plumas

$6,000

Riverside

$1,463,732

Sacramento

$900,000

San Bernardino

$2,173,413

San Diego

$4,861,584

San Francisco

$739,200

San Joaquin

$608,808

San Luis Obispo

$65,000

San Mateo

$650,000

Santa Barbara

$290,000

Santa Clara

$2,321,853

Santa Cruz

$120,000

Shasta

$175,000

Siskiyou

$37,428

Solano

$175,000

Sonoma

$98,735

Tehama

$88,950

Tulare

$362,221

Ventura

$735,913

Yolo

$245,960

TOTAL

$31,774,392