State Fund to Head Back to Legislature with Reform Proposal

Not long after Janet Frank took over as president of the State Compensation Insurance Fund in October, she met with legislative staff members in an attempt to jumpstart proposed legislation to make structural reforms to the troubled workers’ compensation insurer. But there was an 800-pound gorilla in the room: an ongoing independent audit ordered by Insurance Commissioner Steve Poizner into alleged conflicts of interest and lax oversight at the government-run organization – not to mention a related criminal investigation into the affair. With all that going on, a proposal to i...