California Awards $34 Million to Fight Workers’ Compensation Fraud

Insurance Commissioner Dave Jones has awarded $34.9 million in grants to 37 district attorney offices representing 42 counties in California to combat workers’ compensation insurance fraud.

The grants are funded through employer assessments, and they support law enforcement efforts in investigating and prosecuting workers’ comp fraud.

“These grants will assist district attorneys across the state in uncovering workers’ compensation fraud schemes and prosecuting those who take advantage of the system,” Jones said in a statement.

Workers’ compensation fraud includes medical provider fraud, employer premium fraud, employer defrauding employee, insider fraud, claimant fraud and the willfully uninsured operating within the underground economy.

Grant funding is based on assessments from California employers. California District Attorneys apply for workers’ comp fraud grant funds.

The commissioner’s grant review panel reviews the applications and makes funding recommendations to the Jones based on multiple criteria, including past performance, the county’s problem statement and their program strategy for the upcoming year.