Fraud-Fighting Bill Estimated to Cost $1.2M Annually

A bill in the Iowa legislature that would give employers control of medical care and mandate a state workers’ compensation fraud enforcement unit would cost more than $1 million annually, with most of the money coming from penalty revenue and not general tax revenues, according to an analysis by the Fiscal Services Division. Senate File 2305 would establish a unit consisting of six investigators, an attorney and an analyst within the Insurance Fraud Bureau, according to the analysis. The $970,000 in annual costs would be paid out of the Workers’ Compensation Fraud Penalty Fund, fi...