A California bill that allows out-of-state athletes to receive workers' compensation benefits for injuries sustained on the state's sports fields is advancing, inciting mixed responses from players in the insurance industry.
"Workers' compensation, while it is paid by employers in the state, is causing more than 4,000 claims in California, often including payouts to athletes that have only played a game or two here," says Gary Toebben, Los Angeles Area Chamber of Commerce president and CEO, who supports the measure. "The state has a guarantee corporation, funded by taxpayers, that assumes responsibility for claims made and approved in the state, so out-of-state claims cause rates to be driven up for employers and taxpayers in the long run."
Currently, anyone paying taxes to the California may receive benefits from its $12 billion workers' compensation system, including professional athletes who have played as little as one game or inning there. Upwards of 4,500 sports-related claims have been filed in California since the 1980s, resulting in $747 million in payouts.
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