Southern Ins. v. Workers' Compensation Appeals
A workers’ compensation insurance policy was issued based on the express representation that the covered employer’s employees did not travel out of state. After an employee was injured out of state, the insurer notified the employer that it was rescinding the policy because of the employer’s misrepresentation and returned the premium. The issue of insurance coverage went to mandatory arbitration wherein the arbitrator concluded that, as a matter of law, the insurer could not rescind the policy and that the policy was in effect. The Workers’ Compensation Appeals Board (appeals board) affirmed the arbitrator’s decision.
Contrary to the arbitrator’s ruling, a workers’
Comments on Southern Ins. v. Workers' Compensation Appeals