The cost of workers’ comp fraud in California is estimated between $1 billion and $3 billion annually, creating ripple effects that impact businesses across the state. Fraudulent claims drive up overall premium costs, making it harder for you to find fair and affordable coverage for your clients.
Tools from State Fund for combatting fraud
Here’s how you can be proactive in helping to eliminate fraud:
- Educate your clients. Help them understand the importance of correctly classifying employees and accurately reporting payroll. 13 Ways To Fight Fraud In the Workplace gives them the tools they need to reduce the likelihood of fraudulent claims.
- Watch for red flags. Provide your clients with The Warning Flags of Potential Fraud to help them recognize potential signs of employee fraud.
- Report suspicious activity. Reach out to State Fund if you suspect suspicious activity. They make it easy for you or your clients to report fraud and they investigate every single tip.
State Fund’s Special Investigation Unit
State Fund’s Special Investigation Unit (SIU) reviews thousands of tips each year and partners with law enforcement agencies to ensure those who abuse the system are identified and prosecuted. In 2024 alone, they found evidence to justify more than $15 million in restitution. While they are proud of this accomplishment, their real goal is to eliminate fraud altogether.
Learn more about How They Fight Fraud. If you have any questions, please contact Access State Fund, your official State Fund Access Partner at asfnewbusiness@amwins.com .
Thank you for your continued partnership with us,
Your Amwins’ Access State Fund Team
