What the panel ordered
The panel affirms the February 19, 2021 Findings and Order that held California Restaurant Mutual Benefit Corporation liable for coverage of the injury due to premature policy cancellation.
Petition for reconsideration of the February 19, 2021 Findings and Order affirming coverage liability was granted to allow further study; now the panel affirms the prior Findings and Order.
What was disputed, and how it came out
Each issue the panel decided, with the reasoning it gave. An outcome is what this panel did on this record — not a rule, and not a prediction.
The panel found that CRMBC's cancellation letter dated December 27, 2017, served as notice of cancellation, making January 27, 2018 the earliest cancellation date, which is after the injury date of November 22, 2017, thus CRMBC remains liable for coverage.
From the decision · page 6[i]n the case of cancellation or termination of coverage of a group member, whether voluntary or involuntary, the group self-insurer shall remain liable for all compensation liabilities of the group member resulting from any claim with a date of injury during the period of membership in the group self-insurer up to the effective date of the termination and revocation of the group member's Affiliate Certificate of Consent to Self-Insure, including the 45 day notice period in the event of involuntary termination. (Ibid.) Assuming that CRMBC's cancellation letter dated December 27, 2017 served as proper notice of cancellation or termination from group membership, we agree with the WCA that January 27, 2018 is the earliest possible date CRMBC could have cancelled its policy, and since the January 27, 2018 cancellation date occurs after the November 22, 2017 alleged injury, CRMBC remains liable for coverage of the subject injury.