INSURANCE

Workers’ Comp Insurer Sued: Three employers have filed a class-action suit claiming that California’s biggest workers’ compensation carrier, State Compensation Insurance Fund, has intentionally or negligently allowed its customers to be improperly overcharged for their coverage. The suit, filed in Orange County Superior Court, alleges that the insurer overstated by $500 million the insurance reserves it has held over the last two years to cover potential claims against its customers. The suit says that the misreporting, in turn, enabled the insurer to inflate premiums for employers. The insurer, also known as SCIF, denied the accusation and said the plaintiffs should have submitted their complaint to state regulators to try to resolve the dispute before filing a lawsuit.