SB Cal is working to prohibit the Association for Cooperative Operations Research and Development (ACORD), a nonprofit organization serving the insurance industry, from including questions relating to the number of employees under 16 or over 60 years of age and how many employees have physical handicaps on the employer’s application for workers’ compensation insurance.
The questions on the ACORD application are discriminatory in nature, violate an employee’s privacy and could potentially put an employer in litigation over employment law violations. Also, this information could potentially be used by an insurer to calculate the amount of workers’ compensation premium, based on the number of employees over 60 years old or those with “known” or disclosed physical handicaps resulting in the insurer calculating an artificially high premium rate or adding a surcharge on the employer’s policy.
WC Task Force
We served on the Insurance Commissioners Wokers’ Compensation Fraud Task Force, assisting to identifying types of workers' compensation fraud that is costly to small businesses.
Small Business California sponsored and passed AB 2181 (Ruskin). This bill was intended to streamline reporting requirements of workers’ compensation claims information, saving millions of dollars and eliminating unnecessary paperwork.