Hearing on CA Deductible Tax Set 12/18

Earlier this year, Acting Insurance Commissioner Harry Low, unilaterally approved a premium tax on the deductible portion for employers who held a large deductible policy from 1997 going forward. This decision reversed a prior order by the former Insurance Commissioner that these reimbursements to employers are not subject to taxation. The California Coalition on Workers' Compensation (CCWC), in conjunction with the American Insurance Association, sent a formal inquiry to the Office of Administrative Law (OAL) as to whether the Acting Insurance Commissioner had the authority to make this d...