SACRAMENTO /California Newswire/ — Governor Arnold Schwarzenegger yesterday issued a statement after Insurance Commissioner Steve Poizner rejected a second request by the Workersâ€™ Compensation Insurance Bureau to increase the Workerâ€™s Compensation Claims Cost Benchmark which would have negatively affected Californiaâ€™s businesses and employers as the state works to rebuild its economy:
â€œEspecially, in our current economic climate it is important that we are taking positive action to promote businesses and generate jobs in California,â€ said Governor Arnold Schwarzenegger. â€œAs we continue our efforts to rebuild Californiaâ€™s economy, itâ€™s important that we arenâ€™t adding additional and unnecessary costs on employers and I applaud Commissioner Poiznerâ€™s decision today. Throughout my Administration I have worked tirelessly to reduce workersâ€™ compensation insurance rates and the bipartisan reforms that I championed have found success in identifying waste and fraud in the system to create a positive business environment in our state while protecting injured workers.â€
Last July, the Governor issued a statement applauding Insurance Commissioner Poizner’s initial decision to reject the Workers’ Compensation Insurance Bureau’s request for a pure premium rate increase that would have had an overwhelmingly negative impact on businesses, employees and California’s economy.
In March 2009, Governor Schwarzenegger sent a letter to Insurance Commissioner Poizner before that initial decision not to increase rates, urging him to reject the Workers’ Compensation Insurance Rating Bureau’s request for a pure premium rate increase.
The Governor has a strong record of working to reform California’s workers’ compensation system:
â€¢In 2004, Governor Schwarzenegger signed historic workers’ compensation reform legislation that has saved employers $55 billion so far and reduced rates by nearly 65 percent.
â€¢In 2006, Governor Schwarzenegger vetoed legislation that would have undermined the bipartisan workers’ compensation reforms passed by the legislature in 2004.