SAN FRANCISCO – Today, Governor Arnold Schwarzenegger and Insurance Commissioner John Garamendi jointly submitted legislation establishing sound oversight responsibility and regulatory authority for the State Compensation Insurance Fund.

The legislation assures appropriate regulation of State Fund as an insurance carrier by the California Department of Insurance while preserving the authority of the Governor and State Fund’s Board of Directors over its assets and operations as well as preserving the oversight responsibility of the Legislature.

State Fund acting president, Jim Tudor, said “State Fund supports the legislation submitted today by Governor Schwarzenegger and Insurance Commissioner Garamendi and welcomes the resolution of the critical issues between State Fund and the Department of Insurance.  State Fund would like to thank the Governor and the Insurance Commissioner for their leadership in drafting this legislation.”

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EDITOR'S NOTE: Established by the California Legislature in 1914, State Compensation Insurance Fund guarantees the availability of workers' compensation coverage at cost to all California employers and competes fairly with private carriers. State Fund is a wholly self-supporting non-profit enterprise that serves as a moderating and stabilizing influence on California's workers' compensation insurance system.