Calif. Governor, Commissioner Propose Legislation To Oversee State Fund

California’s Governor Arnold Schwarzenegger and Insurance Commissioner John Garamendi have jointly submitted legislation to establish oversight responsibility and regulatory authority for the State Compensation Insurance Fund.

The legislation assures appropriate regulation of State Fund as an insurance carrier by the California Department of Insurance while preserving the authority of the Governor and State Fund’s Board of Directors over its assets and operations as well as preserving the oversight responsibility of the Legislature.

State Fund Acting President, Jim Tudor, said, “State Fund supports the legislation submitted today by Governor Schwarzenegger and Insurance Commissioner Garamendi and welcomes the resolution of the critical issues between State Fund and the Department of Insurance. State Fund would like to thank the Governor and the Insurance Commissioner for their leadership in drafting this legislation.”

Established by the California Legislature in 1914, San Francisco-based State Compensation Insurance Fund is a self-supporting, nonprofit, fairly competitive public enterprise that provides workers’ compensation insurance coverage at cost to California employers. Web site: www.scif.com.