News Main Page
Email A Friend
September 16, 2018
Benjamin Gluck Gives Up Representation Of Frontline Medical In Criminal Organization Munir Uwaydah Case In Downtown LA. Sergeant McCrillis Continues On The Witness Stand, Claiming Stand-Alone Public Documents Are Not Privileged.
September 13, 2018
First Division of Workers' Compensation (DWC) Pharmacy and Therapeutics Committee Meeting Scheduled for September 26th 2018 in Oakland, California
September 12, 2018
Judge King Takes 995 Motion Under Submission From The Defense in Sim Hoffman, M.D. Billing Fraud Case in Orange County. If Prosecution Prevails, Case Will Be Set For Trial Within 30 Days Of September 28, 2018.
September 8, 2018
California’s Department of Industrial Relations (DIR) and its Division of Workers’ Compensation (DWC) Post Progress Report on Department’s Independent Medical Review (IMR) Program.
|California Insurance Commissioner Orders Workers' Comp Insurers To Report Federal Income Tax Savings|
By Lonce Lamonte and the California Department of Insurance - July 2, 2018
California looks to pass on insurer tax savings to policyholders
SACRAMENTO, Calif. - Insurance Commissioner Dave Jones announced today he has issued an order that every insurer licensed to write workers' compensation insurance in the State of California must report their federal income tax savings annually through a rate filing in light of the new tax law.
The recent revision to the Federal Tax Schedule for 2018 reduced the corporate tax rate from 35 percent to 21 percent. That means that nationally insurers will now be able to retain even more of policyholder premiums as profit.
"Any savings to insurers should be passed along to California businesses," said Commissioner Jones. "This order will allow my department to examine workers' compensation insurers' savings and rates and provide transparency to the public. I urge insurers to pass these savings along to policyholders."
Jones' order will require each insurer to submit a rate filing to report the dollar amount of their tax savings by December 31, 2018, and on a yearly basis through December 31, 2020. Insurers will need to provide details about how those savings impact their rates. The insurer must also provide a detailed explanation if they have determined that there is no rate impact, stating why the reduction in the federal corporate tax rate does not affect their rates.
# # #
Lonce Lamonte, email@example.com, and the news release of July 2, 2018 from the California Department of Insurance - www.insurance.ca.gov