JUAN SUAREZ, Applicant
v.
HALEY BROS/TM COBB COMPANY And CALIFORNIA INSURANCE GUARANTEE ASSOCIATION through its servicing facility, SEDGWICK CLAIMS MANAGEMENT SERVICES, for FREMONT INDEMNITY COMPANY, in liquidation, Defendants
No. ADJ365717 (STK 0111454), ADJ3469175 (STK 0109844)
California Workers Compensation Decisions
Workers’ Compensation Appeals Board State of California
February 8, 2022
OPINION
AND DECISION AFTER RECONSIDERATION
JOSE
H. RAZO. COMMISSIONER
The
Appeals Board previously granted reconsideration to further
study the factual and legal issues in this case. This is our
decision after reconsideration.
Defendant,
Liberty Mutual Insurance Company, seeks reconsideration of
the February 21, 2020 Findings and Orders wherein the
workers' compensation administrative law judge (WCJ)
found that Liberty Mutual was jointly and severally liable
with Unicare for an award of future medical care pursuant to
a May 6, 1997 Stipulated Award. Because Unicare is now
insolvent and its claims are administered by the California
Insurance Guarantee Association (CIGA)[1], the WCJ found
that Liberty Mutual is available "other insurance"
and ordered that Liberty Mutual take over administration of
applicant's medical care and resolve reimbursement and
contribution issues with CIGA.
Liberty
Mutual contends that the WCJ erred in ordering Liberty Mutual
to reimburse CIGA because they settled all liability with
applicant and they are not "other insurance" for
applicant's claims. Defendant also contends that the
public policy encouraging settlements outweighs the public
policy to limit CIGA's liability to covered claims.
Finally, Liberty Mutual contends that CIGA's petition for
reimbursement and change of administrators is barred by the
statute of limitations or, in the alternative, that the
equitable doctrines of waiver, laches, and estoppel should be
applied.
Defendant
filed an answer. The WCJ prepared a Report and Recommendation
on Petition for Reconsideration (Report) recommending that
reconsideration be denied. We have considered the Petition
for Reconsideration and the contents of the Report, and we
have reviewed the record in this matter. For the reasons
discussed below, as our decision after reconsideration, we
will rescind the WCJ's February 21, 2020 decision and
issue a new decision finding that Liberty Mutual is not
available "other insurance" for applicant's
claim.
As an
initial matter, the petition for reconsideration is timely.
To be timely, a petition for reconsideration must be filed
with (i.e., received by) the WCAB within 25 days from a
"final" decision that has been served by mail upon
an address in...
