Labor Code section 4753
(a)
(1)SIBTF benefits are not in addition to but shall be reduced to the extent of any monetary payments received by the employee, from any source whatsoever, for or on account of the preexisting disability or impairment.(2)
Paragraph (1) does not apply to any of the following:(A)
Payments being made to the employee or to which the employee is entitled as a pension or other compensation for disability incurred in service in the armed forces of the United States.(B)
Payments being made to the employee or to which the employee is entitled as assistance under the provisions of Chapter 2 (commencing with Section 11200), Chapter 3 (commencing with Section 12000), Chapter 4 (commencing with Section 12500), Chapter 5 (commencing with Section 13000), or Chapter 6 (commencing with Section 13500) of Part 3, or Part 5 (commencing with Section 17000), of Division 9 of the Welfare and Institutions Code.(C)
A sum equal to all sums reasonably and necessarily expended by the employee for or on account of attorney’s fees, costs, and expenses incidental to the recovery of monetary payments for the employee’s preexisting disability.(b)
An employee applying for SIBTF benefits shall provide the director with documentation and other information about any monetary payments they receive for or on account of a preexisting disability or impairment requested by the director. No issue relating to a dispute over any monetary payments received by the employee for or on account of a preexisting disability or impairment may be the subject of a declaration of readiness to proceed unless the director has first been provided with the documentation or other information requested by the director.(c)
This section shall be given broad interpretation to prevent double recovery.
Source:
Section 4753, https://leginfo.legislature.ca.gov/faces/codes_displaySection.xhtml?lawCode=LAB§ionNum=4753. (updated Jul. 13, 2026; accessed Jul. 27, 2026).
