April 20, 2020

California State Fund Establishes Two New Funds for COVID-19

The California State Compensation Insurance Fund (SCIF) established two new funds in response to the COVID-19 pandemic.

 The first fund, the Essential Worker Support Fund, is a $25 million relief fund designed to support policyholders’ essential workers who contract COVID-19 or are ordered to self-isolate due to a potential exposure. The fund applies to workers defined as essential in accordance with Governor Gavin Newsom’s Executive Order N-33-20.

This fund will provide assistance with wage replacement up to 6 weeks and assist any worker without health coverage with uncovered medical costs. For workers who have health coverage, the fund will assist with copayments and deductibles, as well as up to 6 weeks of wage replacement. COVID-19 claims that are work-related will receive full workers’ comp benefits and not draw from this fund.

The second fund, the Essential Business Support Fund, is a $25 million fund designed to assist policyholders that are considered essential businesses, also in accordance with Executive Order N-33-20. The fund will provide grants to qualified policyholders to help defray the costs of safety-related expenses, planned or already incurred, related to protecting their workforces from COVID-19.

Individual grants can total up $10,000 or two times the policyholder’s premium, whichever is less. Grant applications will be considered on a first-come, first-serve basis. If the $25 million fund is depleted, all applications will be saved in order of arrival in case additional funds are made available.

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