Subsequent Injuries Benefits Trust Fund: A worker injured on the job may have a pre-existing disability that amplifies the impact of their workplace injury. To ensure fair compensation, workers’ compensation accounts for both the direct effects of the workplace injury and any compounded effects from prior disabilities. However, this approach conflicts with a key principle: employers should not be held responsible for disabilities that arise outside of work.
Origins and Purpose of SIBTF
After World War II, many disabled veterans entered the civilian workforce, prompting California to address this dilemma. In 1945, the state created the Subsequent Injuries Fund, later renamed the Subsequent Injuries Benefits Trust Fund (SIBTF). The purpose was to provide supplemental workers’ compensation benefits to qualified workers. This financial support comes directly from the Fund rather than from employers. California Labor Code § 4751 outlines the criteria for these benefits.
Recent Growth in SIBTF Claims
For many years, only a limited number of workers applied for SIBTF benefits, and payments remained modest. However, in recent years, applications and payouts have surged. This increase has raised concerns about the factors driving the Fund’s growth. Despite these concerns, policymakers lacked access to individual case data necessary to analyze trends in SIBTF caseloads and costs.
RAND Study on SIBTF Trends
To address this knowledge gap, the California Department of Industrial Relations (DIR) commissioned RAND to conduct a comprehensive study of SIBTF. The study aimed to collect and analyze as much data as possible, providing a foundation for informed policy discussions. Researchers examined cases filed or pending between 2010 and 2022, building a dataset that offers key insights into claim trends.
Implications for Policy and Workers’ Compensation
The study’s findings serve as a critical resource for DIR officials, policymakers, and other stakeholders in California. Understanding SIBTF’s growth trends can help shape future policy decisions regarding supplemental workers’ compensation.
Learn More
For additional details about SIBTF benefits and eligibility, visit SIBTF.org.
For more insights on the RAND study, visit RAND’s Justice Policy Program