Bill > AB1683

This bill would make a permanent change to California's workers' compensation law, allowing employers to indefinitely deposit disability indemnity payments, which are payments made to an employee for injuries sustained on the job, into prepaid card accounts for employees, provided the employee gives written consent. Previously, this option was only authorized until January 1, 2027, and required specific conditions for the prepaid cards, such as allowing fee-free withdrawals and point-of-sale purchases, and prohibiting links to credit. The bill removes the requirement for a report on prepaid card usage and repeals a section of law that would have reinstated stricter rules on payment methods after January 1, 2027, effectively extending the prepaid card option indefinitely.

Business and Industry

Insurance (Assembly)

https://leginfo.legislature.ca.gov/faces/billStatusClient.xhtml?bill_id=202520260AB1683