California COVID-19 Benefits Fraud, Cyber Attack Could Reach $9.8B

California may have paid out nearly $10 billion in phony coronavirus unemployment claims – more than double the previous estimate – with some of that money going to organized crime in Russia, China and other countries, according to a security firm hired to investigate the fraud.

At least 10% of claims submitted to the state Employment Development Department before controls were installed in October may have been fraudulent, Blake Hall, founder and CEO of ID.me told the Los Angeles Times.

The Times said that would work out to $9.8 billion of the benefits paid from March through September.

Member Spot Light Julie Nester

PARMA Member Spotlight Meet Julie Nester Senior Manager Property and Liability Program San Diego and Imperial County Schools Risk Management JPA Tell me about how you became a risk manager? By accident! I got a job right out of school with The Travelers Insurance. I worked as a claims adjuster and claims supervisor and then started working for employers in different risk capacities. Eventually, I was promoted to Risk Manager. It’s been an interesting journey. What are the rewards you experience professionally by being a PARMA member? The local San Diego Chapter has been very welcoming. It’s a

New Wave of Virus Claims Hit California Workers’ Comp

A California Workers’ Compensation Institute analysis of claims reported to the state Division of Workers’ Compensation as of Jan. 11 shows that the number of COVID-19 claims in the California workers’ compensation system more than tripled between October and November, then jumped another 64.2% to a record 23,483 claims in December.

A new CWCIU projection shows that the December total could climb to 37,573 cases once claims that are yet to be filed or still under investigation are added to the tally.

Vaccinations: Sonoma County Residents Wondering how it will Happen

(TNS) - Jan. 10—Elizabeth Apana is 72 years old. She moved to Santa Rosa in 2019 because her cardiologist told her she needed surgery to stabilize the rhythm of her heart, and it would be too risky to have the procedure done in Hawaii, where she lived at the time. She also has congestive heart failure, chronic obstructive pulmonary disease and asthma. She is eager to be vaccinated against the coronavirus, for obvious reasons.

"Mentally, it's going to make me feel a whole lot better, because I know I won't have to worry about catching COVID, and I won't have to worry about giving it to other people," Apana said. "I feel it will be a new chance at life."

California Governor Planning $4 B for Economic Recovery

After spending most of 2020 telling small businesses to close and limit their customers, California Gov. Gavin Newsom on Tuesday proposed $4 billion worth of state spending he says will help them survive in 2021.

Newsom was the first U.S. governor to impose a statewide stay-at-home order because of the coronavirus pandemic in March, earning praise at the time for decisive action to contain the spread. But a recent surge of cases has caused those restrictions to linger into 2021, shuttering bars, restaurants, barber shops, gyms and movie theaters for months at a time while imposing strict limits on capacity inside retail stores during the year’s busiest shopping season.

Another Coronavirus Surge Record in Orange County, Calif.

(TNS) - Dec. 20—Orange County logged another single-day record on Sunday, Dec. 20, for new reported cases of the coronavirus as a winter surge spreads through its communities and packs local hospitals.

The additional 4,606 cases reported Sunday by the OC Health Care Agency in its daily update put the cumulative total since tracking began at 124,428 people testing positive for the virus.

Some 1,682 people needed hospitalization as of Sunday, 375 of them in intensive care units.

PARMA 2021 Virtual Conference Contest

CONTEST TIME: Register for the PARMA 2021 Virtual Conference, then watch the promo video below and send in the correct movie references from it to info@parma.com to be entered to win a $100 gift certificate! Note: In order to qualify for the drawing you must register on or before January 8 and guess the movie references.

Analysts Say Cat Models Would Encourage Wildfire Mitigation Measures

Predictive modelers told California regulators on Thursday that the state’s antiquated rules for calculating wildfire risk when setting property insurance rates discourage innovative mitigation measures that could ultimately reduce losses.

Nancy P. Watkins, a principal and consulting actuary for Milliman, said during a webcast on “home hardening” hosted by the state Department of Insurance that California is one of only three states that doesn’t allow insurers to use catastrophe modeling to determine wildfire risk. Rates must be based on historical losses.

Watkins said that is a “very simple” method of ratemaking. “It’s kind of like expecting the Rocky Mountains to be flat because we just drove through Kansas and Missouri,” she said.