Insurance Fraud NEWS
CA District Attorney cracks down on unlicensed contractors
February 16, 2017, Woodland, CA
District Attorney Jeff Reisig announced that the Yolo County District Attorney’s Office Workers’ Compensation Fraud Unit recently coordinated a joint operation in Woodland, CA with the Contractors State License Board, the Sutter County District Attorney’s Office, and the Woodland Police Department. The goal was to hold unlicensed contractors accountable for violations of contractor’s law and workers’ compensation fraud. The team was specifically looking for individuals who were posting false advertisements as well as those who were providing a contractor’s bid without being properly licensed.
During the two-day operation there were a total of 15 arrests made for violations including contracting without a license, posting false advertisements, and not having workers’ compensation insurance. Those arrested were processed and provided information on how to become a licensed contractor.
According to California law all individuals performing work regulated by the Contractor’s State License Board at $500 or greater must have a valid contractor’s license. If they have any employees working for them they must provide their employees with proper workers’ compensation insurance as well. Homeowners can be held liable for any medical treatment stemming from injuries sustained by the employee of an unlicensed contractor if the injury occurred while working on the homeowner’s property.
District Attorney Jeff Reisig emphasized the incredible liability homeowners face when hiring uninsured employers or unlicensed contractors, saying “If the employee was injured or killed while working on the homeowner’s property, the homeowner could be personally liable for all of the medical bills. Most homeowner’s insurance policies will not cover these types of injuries, resulting in the homeowner owing hundreds of thousands of dollars and potentially losing their home and life savings to pay for these bills. It is critical that homeowners ensure the contractors they hire are licensed by the Contractor’s State License Board and have proper workers’ compensation insurance for their employees. We are committed to combating this type of fraud in our community.”