Insurance of North America v. Workers' Compensation Appeals Board

Petitioner Insurance Company of North America (hereinafter INA) contends that respondent Workers’ Compensation Appeals Board (WCAB) erred in denying INA’s petition for reconsideration of the decision of the workers’ compensation judge finding that (1) respondent Myrna R. Kemp (applicant) sustained injury to her psyche arising out of and occurring in the course of employment for Volt Technical Corporation (Volt), and (2) INA, the workers’ compensation insurance carrier for Volt, unreasonably refused to provide workers’ compensation benefits to applicant and therefore is liable for a 10 percent penalty pursuant to Labor Code section 5814. We agree with INA’s contention and accordingly we cannot accept the decision of the WCAB.

As stated in her original application for adjudication filed with the WCAB, the gravamen of applicant’s claim to industrial psychiatric injury is that she sustained emotional trauma as the result of employment *908 “harassment, pressures and tensions from November 28, 1978 to present and continuing .... ”

The application which initiates this proceeding is based upon a false representation. Paragraph 9 thereof reads: “This application is filed…