SB487 amends California Labor Code to limit employer reimbursement from third-party settlements for peace officers and firefighters.
SB487 modifies California Labor Code sections 3852, 3858, 3859, 3860, 3861, and 3862 to restrict employers' reimbursement rights from third-party settlements for peace officers and firefighters. Employers can only recover up to one-third of the third-party insurance limits, ensuring the injured employee retains a significant portion of their recovery. The bill also mandates that employer consent is not required for employee settlements with third parties, except for peace officers and firefighters, where the employer's reimbursement is capped.
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