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News & Press: Unlicensed Contractors

January 11, 2017 Fraud Assessment Commission Meeting Update

Tuesday, February 14, 2017   (0 Comments)
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The good work of the Commission continues. Insured employers pay part of their Workers' Compensation Assessment towards the Commission's work. The contribution for 2017 is .001675 of an employer's premium. Self-insured employers pay a similar amount of their costs. For less than 2 tenths of 1 percent of premium, the most recent amount collected for 2016 was approximately $55 million. Of this, $20 million went to combating provider fraud, and has resulted in indictments of 75 medical providers for over $1 Billion in fraudulent claims. The remaining $35 Million went to California District Attorneys who must now propose future plans of using the incentive funding. 


The District Attorneys pursue claimant fraud, premium fraud, and various provider fraud activities. The latest report is that the $35 million in funding resulted in 579 arrests, 479 convictions, and totaled over $850 million in fraud. CALPASC believes the Fraud Assessment Commission model is a win-win for all parties involved, except the fraudsters.

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