Hilario Ponce vs. Elite Personnel Services: Workers' Compensation Case

In this case, Hilario Ponce (Hilario Ruvalcaba) was injured while employed as a loader/unloader by general employer Elite Personnel Services and special employer Seville Classics, Inc. The California Insurance Guarantee Association (CIGA) sought reimbursement from Preferred Employers Insurance Company (PEIC) for medical treatment and medical-legal costs it incurred following the liquidation of Elite's workers' compensation insurer, Villanova. The Arbitrator initially found that CIGA was entitled to reimbursement of $7,596.58 from PEIC for medical treatment and one half of the $8,635.56 it expended as medical-legal costs, for a total reimbursement of $11,913.36 out of

ELITE PERSONNEL SERVICES, INC.; CALIFORNIA INSURANCE GUARANTEE ASSOCIATION for VILLANOVA INSURANCE, in liquidation, by BROADSPIRE; SEVILLE CLASSICS; PREFERRED EMPLOYERS INSURANCE, HILARIO PONCE (HILARIO RUVALCABA), WORKERS’ COMPENSATION APPEALS BOARDSTATE OF CALIFORNIAHILARIO PONCE(HILARIO RUVALCABA), Applicant,vsELITE PERSONNEL SERVICES, INC.; CALIFORNIA INSURANCE GUARANTEE ASSOCIATIONfor VILLANOVA INSURANCE, in liquidation, byBROADSPIRE; SEVILLE CLASSICS; PREFERRED EMPLOYERS INSURANCE,Defendants.Case Nos. ADJ3074570 (LBO 338697)ADJ838753 (LBO 347773)OPINION AND ORDER GRANTING RECONSIDERATION AND DECISION AFTER RECONSIDERATION            Defendant California Insurance Guarantee Association (CIGA) seeks reconsideration of the October 17, 2008 Arbitration Findings of Facts and Order of the Arbitrator who found following the hearing of CIGA’s petition for contribution that it was entitled to reimbursement of $7,596.58 from defendant Preferred Employers Insurance Company (PEIC) for medical treatment it provided applicant, and one half of the $8,635.56 it expended as medical-legal costs, for a total reimbursement of $11,913.36 out of its request for $16,232.14. It was earlier stipulated that applicant incurred industrial injury to his left knee and back on April 11, 2002 (LBO 338697) and during the period November 1, 2001 to May 17, 2002 (LBO 347773) while employed as a loader/unloader by general employer Elite Personnel Services (Elite), then insured by Villanova Insurance Company (Villanova), now in liquidation, with CIGA responsible for its covered claims, and by special employer Seville Classics, Inc. (Seville), then insured by PEIC.            CIGA contends that because applicant’s claims were not covered claims as described in Insurance Code section 1063.1(c)(9), PEIC should have been found liable to reimburse CIGA for the entire $16,232.14 it requested, notwithstanding that a portion of that amount included medical- , legal costs.            We grant reconside

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