Largest workers’ compensation insurance company in California to lay off 1,800 by next June

The State Compensation Insurance Fund, a government-controlled insurer which is the largest workers’ compensation insurance company in California, has announced that one of its efforts to cut expenses and streamline its operations will be to lay off approximately one quarter of its total 6,800 employees. Chief executive of State Compensation Insurance Fund, Tom Rowe, said that as many as 1,800 civic service workers will be eliminated by the end of June 2012, as the company has been determined to be overstaffed by about 30 percent. This is the first time…

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Major problems in overseas insurance program costing the U.S. government millions

Problems in the infrastructure of the U.S. workers’ compensation insurance program that provides coverage to contractors in Afghanistan have cost the nation millions, according to the Special Inspector General for Afghanistan Reconstruction. The audit, lead by Major Brad Willcockson, found that workers in the region often go uninsured as a result of nonexistent oversight in the program. According to the audit, the problems may lie in the programs administrator: Continental Insurance. The insurance company is a subsidiary of CNA Financial Corp., and was pegged by the U.S. government to provide…

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NFL lawsuit brings controversy to California workers’ compensation laws

A California labor law that has been drawing an extreme number of former pro football player workers’ compensation claims has been targeted by a Republican member within the California State Legislature, who seeks a complete overhaul. The leading Republican member in question, Curt Hagman (R-Chino Hills), is on the Assembly Committee on Insurance, and stated that the current framework for worker’s compensation within California is “outrageous”, in that it permits former professional athletes without any real tie to the state to make long-term injury claims within it. The reason for…

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