“This is an example of a common sense policy actually working to make doing business in California cheaper and easier,” said Gray. “Since becoming law, we have seen a reduction of more than $1 million of fraud per day.”The new law requires the state to suspend any medical provider convicted of fraud from participating in the workers’ compensation system. The Division of Workers’ Compensation recently announced it used the provisions of Gray’s bill to suspend seven fraudulent medical providers who had filed more than 8,500 claims totaling at least $59 million.
“Workers Compensation fraud is out of control, and the problem is growing,” said Gray. “Last year we made significant strides to put crooked doctors and lawyers on notice, and we are starting to see the fruits of that labor. But the fraud is not gone and the fight is not over. I have introduced legislation this year to further protect employers and employees from becoming victims of these con artists.”
The Department of Industrial Relations news release can be viewed here.
Assemblymember Adam C. Gray represents the 21st Assembly District which includes all of Merced County and portions of Stanislaus County.