San Francisco, CA – State Fund recently announced that it will begin issuing dividend payments to eligible policyholders beginning in early July. The $37 million dividend was declared by State Fund’s Board of Directors for the 2014 policy year; eligible policyholders will receive approximately 2.6% of their estimated annual premium.
“State Fund is a not-for-profit organization. This dividend represents State Fund’s commitment to serving California’s businesses and providing value to our policyholders,” said State Fund President and CEO Vern Steiner.
Dividend checks are issued and mailed to policyholders after the policy has been finalized, approximately 18 months from policy inception on the 2014 policy year. The first set of checks to be mailed out in early July is for policies that incepted in January of 2014.
State Fund has declared a total of $287 million in policyholder dividends for the past four policy years.
Disclaimer statement: Under California law it is unlawful for an insurer to promise the future payment of dividends under an unexpired workers’ compensation insurance policy or to misrepresent the conditions for dividend payment. Dividends are payable only pursuant to conditions determined by the Board of Directors or other governing board of the Company following policy expiration. It is a misdemeanor for any insurer or officer or agent thereof, or any insurance broker or solicitor, to promise the payment of future workers’ compensation dividends. Past dividend performance is no guarantee of an insurer’s future dividend performance.
Source: CA State Fund