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Labor Code Sections 62.5 and 62.6 authorize the Department of Industrial Relations to assess employers for the costs of the administration of the workers’ compensation, health and safety and labor standards enforcement programs. These assessments provide a stable funding source to the support operations of the courts, to ensure safe and healthy working conditions on the job, to ensure the enforcement of labor standards and requirements for workers’ compensation coverage.

These Labor Code provision require allocation of the six assessment types between insured and self-insured employers in proportion to payroll for the most recent year available. The total amounts of the assessments for all payers for each category for the current assessments are as follows:

1) Workers’ Compensation Administration Revolving Fund Assessment (WCARF) – $ 617,034,931
2) Subsequent Injuries Benefits Trust Fund Assessment (SIBTF) – $ 430,900,000
3) Uninsured Employers Benefits Trust Fund Assessment (UEBTF) – $ 49,304,051
4) Occupational Safety and Health Fund Assessment (OSHF) – $ 195,438,707
5) Labor Enforcement and Compliance Fund Assessment (LECF) – $ 187,857,815
6) Workers’ Compensation Fraud Account Assessment (FRAUD) – $ 87,842,896

Total cost of these assessments are $1,568,378,400

All workers’ compensation insurance policies issued with an inception date during the calendar year 2023 must be assessed to recover amounts advanced on behalf of policyholders. Assessable Premium is the premium the insured is charged after all rating adjustments (experience rating, schedule rating, premium discounts, expense constants, etc.) except for adjustments resulting from the application of deductible plans, retrospective rating or the return of policyholder dividends.