Senate Bill 1127 Impacts California Workers’ Compensation Claims System

On June 22, 2022, Senate Bill (SB) 1127 was approved by the California State Assembly Insurance Committee and referred to the California State Assembly Appropriations Committee for review. Among other provisions, SB 1127 seeks to amend existing workers’ compensation law by reducing the decision timeframe an employer has to accept or deny a claim from 90 days to 75 days. This reduced time frame has raised concern among some in the public sector that an employer’s ability to adequately and appropriately investigate a claim may be impeded.

More information on this bill can be found in the Authority’s June newsletter.