My State Fund Story

This website is operated by an Injured Worker (IW) to expose the bureaucratic elites and their special interests in Sacramento that seek to profit from the misery of IWs. These "vile, conniving and despicable" souls support a system dedicated to corporate greed and the protection of corrupt profits. For proof, simply read on.

Mission statement: Not one more needless death of an injured worker to protect corporate insurance profits and industry corruption. We are busy helping to clean up the workers' comp mess by empowering injured workers to (1) hold insurance companies accountable and (2) the bureaucrats charged with overseeing this corruption.

Welcome to www.MyStateFundStory.com operated as a public service to others, by myself, Larry Nign, an injured worker (IW). It is my deepest belief that we, as a group, can prevent unneccessary pain and suffering of other IWs by sharing my story concerning the State Compensation Insurance Fund, State Fund.

The State Fund (SCIF) collects money from over 265,000 employers in the State of California to provide workers' compensation insurance. In fact, SCIF has been described as a monopoly by industry observers. The State Fund is run by California public employees but behaves as if it were a private for profit insurance company.

This story chronicles my battle with the State Fund, and has even been made into a documentary called "Almost Broken."

My Story spans from my injury in 1989, through State Fund's crimes in '97, and onward to present day with the continued cover-up by State Officials. In an effort to make it concise and easy to read, I've split the story into chapters:

•The Injury starts us in 1989.

•The Crimes details the acts which State Fund took to deny me a settlement.

•The Investigation covers the Los Angeles D.A.'s investigation into State Fund's crimes.

•The Appellate Decision begins with a decision being handed down, and ends with the L.A. D.A.'s refusal to obey it.

•The Last Attorney begins with the last acts of Attorney Marsili and ends with the creation of this website.

•The Recent Events tells what has happened in 2004 so far.

On a side note, you can read a summary of my story at: Injured Workers Coalition.

Debunking the myths created by the insurance industry

California employers are led to believe that malingering workers are "cheating" workers compensation to the tune of $1 to $3 Billion dollars a year (a myth debunked by several credible newspaper stories). In fact, California work comp fraud by claimants may amount to only one or two percent of all work comp claims filed.

MYTH: Work comp frauds and cheats "pick the pockets of employers."
FACT: Work comp claims are paid out of insurance company profits, not premiums. State Fund (SCIF) profits are nearly a billion dollars annually.

MYTH: Work comp fraud is widespread and requires a "crack down".
FACT: Prosecuting attorneys continue to burn "small fry" cheats to enrage the public at large while massive insurance fraud by the companies themselves goes undetected, unreported, and not prosecuted.

KFSN-TV, Fresno, reports Califonia Highway Patrol work comp fraud unit going after "small fry" violators; a patrolman and a dispatcher. Unit was started after the infamous "Chief's Disease" debacle when senior officers were getting excessive work comp early retirements for dubious injuries and taking lucrative security jobs after retiring. Must be nice.

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