Article ID: 1dead19fd20326865b58050fa22ffafb7467d8f3487d4a7445fb6daac94df5e7
Source ID: secondary:businessinsurance.com
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URL: https://www.businessinsurance.com/california-comp-audits-cite-1b-in-assessable-penalties/
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California comp audits cite $1M in assessable penalties - Business Insurance Skip to content Register for free Search Search Log In Risk Management Cyber Risks Pricing Trends Mergers & Acquisitions Technology Sponsored Content WSIA RISKWORLD Workers Comp & Safety Workers Comp Cost Control Pain Management Workplace Safety International EMEA Asia-Pacific Latin America People Events BI Intelligence Top 100 Agents & Brokers Best Places to Work 2025 Lists Directories Insurance Pricing BI Stock Index Magazine Current Issue Past Issues Subscribe Women to Watch ALL INsurance Resources Risk Perspectives Sponsored Content Webinars White Papers Risk Management Cyber Risks Pricing Trends Mergers & Acquisitions Technology Sponsored Content WSIA RISKWORLD Workers Comp & Safety Workers Comp Cost Control Pain Management Workplace Safety International EMEA Asia-Pacific Latin America People Events BI Intelligence Top 100 Agents & Brokers Best Places to Work 2025 Lists Directories Insurance Pricing BI Stock Index Magazine Current Issue Past Issues Subscribe Women to Watch ALL INsurance Resources Risk Perspectives Sponsored Content Webinars White Papers Risk Management Cyber Risks Pricing Trends Mergers & Acquisitions Technology Sponsored Content WSIA RISKWORLD Workers Comp & Safety Workers Comp Cost Control Pain Management Workplace Safety International EMEA Asia-Pacific Latin America People Events BI Intelligence Top 100 Agents & Brokers Best Places to Work 2025 Lists Directories Insurance Pricing BI Stock Index Magazine Current Issue Past Issues Subscribe Women to Watch ALL INsurance Resources Risk Perspectives Sponsored Content Webinars White Papers Risk Management Cyber Risks Pricing Trends Mergers & Acquisitions Technology Sponsored Content WSIA RISKWORLD Workers Comp & Safety Workers Comp Cost Control Pain Management Workplace Safety International EMEA Asia-Pacific Latin America People Events BI Intelligence Top 100 Agents & Brokers Best Places to Work 2025 Lists Directories Insurance Pricing BI Stock Index Magazine Current Issue Past Issues Subscribe Women to Watch ALL INsurance Resources Risk Perspectives Sponsored Content Webinars White Papers California comp audits cite $1M in assessable penalties by Louise Esola Regulation , Workers Comp Coverage Apr 29, 2026 California’s Division of Workers’ Compensation Audit & Enforcement Unit identified $1.01 billion in administrative penalties subject to assessment in 2024 audits of insurers, self-insured employers and third-party administrators, according to its annual report to the Legislature. The unit completed 40 audits during the year, including 36 routine profile audit reviews and four target audits triggered by prior failed reviews, covering 2,698 claim files. Auditors cited 4,531 violations with total administrative penalties of $1.35 million, though $336,588 of that amount was not subject to assessment because 32 audit subjects met or exceeded performance standards and avoided penalties under state law. The remaining penalties subject to collection totaled $1,010,939, with $852,263 collected and $158,676 still outstanding, according to Statewide Exhibit 2. Eight audit subjects failed to meet the Profile Audit Review standard and moved to full compliance audits. Five ultimately failed the second-stage review and were assessed penalties for all violations found. Thirty-two audit subjects, or 80%, met or exceeded the PAR standard and were not assessed penalties, though they were still ordered to pay unpaid compensation. Audits also found unpaid indemnity in 10.19% of reviewed claims. The unit issued 275 notices of compensation due totaling $442,661, including $201,696 in temporary disability indemnity and $195,770 in permanent disability indemnity. Separately, the audit unit tracked 560 complaints in 2024 and reported recovering $1.18 million in additional payments to claimants and providers as a result of those complaints. Related News Wash. court upholds recoupment of vocational school overpayments April 29, 2026 Willis unveils specialty cover for M&A transactions April 29, 2026 Risky business hits the fast lane April 29, 2026 Productivity top outcome of managing risk: Marsh April 29, 2026 Convective storm outbreak adds to active year: Aon April 29, 2026 Zurich appoints head of international construction April 29, 2026 AIG unit must cover portion of $26 million SEC settlement April 29, 2026 RenaissanceRe’s bottom line rebounds April 29, 2026 Carmaker BYD faces labor abuse claims in Hungary April 29, 2026 Facebook-f X-twitter Linkedin-in Business Insurance is a singular, authoritative news and information source for executives focused upon risk management, risk transfer and risk financing. Never miss important news: Become a Business Insurance Online subscriber today Subscribe Now Information About Us Contact Advertise Privacy Policy Terms & Conditions Copyright 2026. BUSINESS INSURANCE HOLDINGS Member, Beacon International Group, Ltd.
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