Accord Reached on Work Injuries
With the costs of the California workers' compensation system spiraling out of control, legislation designed to generate $5.3 billion in savings per year has been presented to state officials. The legislation proposes to save money by controlling medical expenses, by putting a cap on fees to health-care providers and limiting injured workers' use of certain treatments. Experts say a major problem with California's system is the lack of consistency in treatment, and the legislation recommends guidelines for how much care is appropriate for any given injury. However some business owners have expressed doubt that the legislation would lead to significantly lower insurance rates because it has failed to address key issues such as long-term disability payments to injured workers.
See "Accord Reached on Work Injuries", Marla Dickerson and Nancy Vogel, Los Angeles Times, September 9, 2003