State Compensation Insurance Fund’s 2016 Annual Report is now available online. The report shows a net income of $192 million in 2016. Other important financial highlights include:
Other accomplishments include transitioning to an outcomes-based Medical Provider Network (MPN). Called the State Fund MPN by Harbor Health, this network of physicians utilize evidence based medicine to provide more consistent quality care to injured workers.
In 2016, State Fund reached successful resolutions with most of the defendants in two Racketeering Influenced and Corrupt Organizations Act (RICO) suits filed in 2013 (the few outstanding plaintiffs were successfully resolved in the first quarter of 2017). The purpose of the suits was to expose and prosecute a complex fraud scheme that was being perpetrated by a number of medical vendors in the California workers’ compensation system. State Fund took on this monumental legal battle that spanned both federal and state civil courts to expose this fraud to the light of day and bring greater awareness to the magnitude of medical fraud within the system so that more can be done to protect injured workers and policyholders.