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4948 The city is entitled to a credit against future liability for workers compensation benefits up to the amount of the settlement between the employee and CIGA minus attorney’s fees. Labor Code section 3861 grants an employer the right to a credit against liability for compensation to such amount of any recovery by the employee for his injury. This is true despite the fact that CIGA had to step in in place of the insolvent third party insurer, as CIGA was required to pay this “covered claim.”CitationBAUER v WORKERS COMP APP BD (Grabbing the Settlement for Workers Comp) 176 CA4 260 [See Labor Code § 3861; Ins Code S 1063.1(c)(9); Cal Guarantee Assn v Argonaut Ins 227 CA3 624]
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