SECTIONS 11870-11874
INSURANCE CODE
SECTION 11870-11874
SECTION 11870-11874
11870. The state, any agency, department, division, commission,board, bureau, officer or other authority thereof, and each county,city and county, city, school district, irrigation district, anyother district established by law, or other public corporation orquasi public corporation within the state, including any publicutility operated by a private corporation may insure against itsliability for compensation with the State Compensation InsuranceFund. Where the state or any agency, department, division,commission, board, bureau, officer or authority thereof is theinsured, the premium for that insurance shall be a proper chargeagainst any moneys appropriated for the support of or expenditure bythe insured, except that in the case of an insured supported by orauthorized to expend moneys appropriated out of more than one fund,the insured, with the approval of the Director of Finance, maydetermine the proportion of the premium to be paid out of each fund.In that case the insured, with the approval of the Director ofFinance, may pay the entire premium out of any of those funds andthereafter the funds used for payment shall be reimbursed in properproportion out of the other funds. In case a county, city and county,city, school district, irrigation district, or other districtestablished by law, or other public corporation or quasi publiccorporation within the state is the insured, the premium thereforshall be a proper charge against the general fund of the insured.11871. The State Compensation Insurance Fund may enter into amaster agreement with the Department of Personnel Administration torender services in the adjustment and disposition of claims forworkers' compensation to any state agencies, including any officer,department, division, bureau, commission, board or authority, notinsured with the fund. The master agreement shall provide for rendition of services at auniform rate to all agencies, except that the rate for the CaliforniaHighway Patrol may be fixed independently of the uniform rate. The fund may, in accordance with the agreement, adjust and disposeof claims for workers' compensation made by an officer or employeeof any state agency not insured with the fund. The fund may make all expenditures, including payment to claimantsfor medical care or for adjustment or settlement of claims,necessary to the adjustment and final disposition of claims. Theagreement shall provide that the state agency whose officer oremployee is a claimant shall reimburse the fund for the expendituresand for the actual cost of services rendered. The fund may in its own name, or in the name of the state agencyfor which the services are performed, do any and all things necessaryto recover on behalf of the state agency for which it rendersservice any and all amounts which an employer might recover fromthird persons under Chapter 5 (commencing with Section 3850) of Part1 of Division 4 of the Labor Code, or which an insurer might recoverpursuant to Section 11662 including the right to commence andprosecute actions, to file, pursuant to Chapter 5 (commencing withSection 3850) of Part 1 of Division 4 of the Labor Code, liens forwhatever sums would be recoverable by suit against a third person, tointervene in other court proceedings, and to compromise claims andactions before or after commencement of suit or after entry ofjudgment when in the opinion of the fund full collection cannot beenforced.11872. The fund may annually enter into agreements with stateagencies for service to be rendered to the fund. These state agenciesinclude, but shall not be limited to: the Department of Finance,Department of General Services, State Personnel Board, and the PublicEmployees' Retirement System. If these agencies and the fund cannotagree upon the cost of services provided by the agreements, theCalifornia Victim Compensation and Government Claims Board shall berequested to arrive at an equitable settlement.11873. (a) Except as provided by subdivision (b), the fund shallnot be subject to the provisions of the Government Code madeapplicable to state agencies generally or collectively, unless thesection specifically names the fund as an agency to which theprovision applies. (b) The fund shall be subject to the provisions of Chapter 10.3(commencing with Section 3512) of Division 4 of Title 1 of, Chapter3.5 (commencing with Section 6250) of Division 7 of Title 1 of,Chapter 6.5 (commencing with Section 8543) of Division 1 of Title 2of, Article 9 (commencing with Section 11120) of Chapter 1 of Part 1of Division 3 of Title 2 of, the Government Code, and Division 5(commencing with Section 18000) of Title 2 of the Government Code,with the exception of all of the following provisions of thatdivision: (1) Article 1 (commencing with Section 19820) and Article 2(commencing with Section 19823) of Chapter 2 of Part 2.6 of Division5. (2) Sections 19849.2, 19849.3, 19849.4, and 19849.5. (3) Chapter 4.5 (commencing with Section 19993.1) of Part 2.6 ofDivision 5. (c) Notwithstanding any provision of the Government Code or anyother provision of law, the positions funded by the StateCompensation Insurance Fund are exempt from any hiring freezes andstaff cutbacks otherwise required by law. This subdivision isdeclaratory of existing law.11874. On the effective date of this act the Controller shall drawhis warrant in favor of the State Compensation Insurance Fund for thetotal amount of the funds in the custody of the Treasurer belongingto the State Compensation Insurance Fund and the Treasurer shall paysuch warrant.