California Gov. Jerry Brown signaled support Friday for reducing the cost to state businesses of the state’s workers’ compensation program by signing two bills approved by the industry while vetoing four other bills passed by the legislature that the industry opposed.
One bill Brown signed is AB 378, which brings compound drugs under the pharmacy fee schedule. The bill passed the legislature Sept. 9.
SB 684 provides that workers’ comp insurers must present a written disclosure to California employers that the insurer is seeking to include in the workers’ comp insurance contract a requirement that disputes be arbitrated or resolved in a state other than California under that other state’s laws.
The bill also provides that unless the California employer agrees explicitly otherwise, any disputes with the insurer will be resolved in California under California law.