Sedgwick’s Shell Game? 139 CA Employers Exposed

August 4, 2025 6 min read

A California workers’ comp physician recently received eight checks totaling $110,858 from Careworks, a vendor affiliated with Third-Party Administrator (TPA) Sedgwick.

Those checks didn’t pay for a single employer’s injury claims—or even a single claims administrator. Instead, they covered 566 medical bills for 311 injured workers across 139 different employers.

Careworks even mixed in bills for injured employees covered by entirely different entities, including QBE North American, National Interstate Insurance, and AmeriTrust Group, Inc.

When viewed through the lens of these 566 payments, employers face an opaque system that makes it extremely difficult to track their money through Sedgwick’s vendor relationships.

Just as alarmingly, daisyData from Sedwick's electronic Explanations of Review (e-EORs) show that:

32% of Sedwgick payments contain reimbursement errors—the amounts are invalid or don’t reconcile
100% of Sedgwick payments contain adjustment errors—Sedgwick misapplied or misreported bill reductions

Sedgwick pools employer dollars with funds from hundreds of other employers and routes them through Careworks. The result is that employers may have no choice but to rely on Sedgwick’s reporting to understand where payments went. This obscures financial accountability and creates administrative chaos for employers and providers trying to reconcile records, resolve disputes, and ensure compliance.

Additionally, all 566 payments were untimely under California law and failed to include the mandatory e-EOR. This forces practice staff to spend hours manually parsing and posting payments to each bill.

Sedgwick’s practices result in an accounting and revenue management nightmare for providers in violation of state requirements. The 139 employers we list below deserve to know where their money is going, to whom, and for what purposes.

Employers, Start Paying Attention

daisyBill will file Audit Complaints for every single one of Sedgwick’s violations of state workers’ comp law.

Unfortunately, employers should harbor no illusions that the California Division of Workers’ Compensation (CA DWC) will step in. The agency’s track record suggests that ignoring Sedgwick’s abuses outweighs any obligation to protecting providers or injured workers.

Employers expect that their money will cover the care of their injured employees. But when Sedgwick funnels employer dollars through Careworks, those dollars enter opaque processes that employers can’t follow. Employers must rely on Sedgwick’s reporting to determine whether their money funds treatment and recovery.

Of course, as history and daisyData make clear, Sedgwick’s compliance record is dismal, and the payment data they send to daisyBill is consistently error-filled.

While doctors can choose to leave the system, employers cannot—they must continue paying for workers’ comp coverage and hoping to get what they’re paying for. If you’re one of the 139 companies below whose money was tossed into this opaque payment system—which resembles a game of 139-Card Monte—it’s time to demand answers.

Employers must pressure Sedgwick to:

Stop commingling their funds with those of other employers
Pay providers on time and in compliance with California law
Provide verifiable, transparent accounting of where their workers’ comp dollars are spent

The CA DWC won’t force Sedgwick to change its behavior. Providers are powerless to do so. It’s up to employers to demand better for their employees.

Claims Administrator	Employer	Bill Count	Payment Amount
Sedgwick Claims Management Services, Inc.	Northrop Grumman	71	$13,281
	Target Corporation	33	$6,041
	Amazon.com, Inc.	29	$5,531
	AT&T SERVICES, INC	24	$4,414
	The Boeing Company	11	$3,504
	Traders Joe's Company	21	$3,406
	Compass Group USA	13	$2,897
	Pacific Bell Telephone Company	13	$2,551
	Glendale Unified School District	9	$2,420
	Valley Village	11	$2,273
	AHGL-Adventist Health Glendale	12	$2,272
	ABM INDUSTRIES	9	$2,174
	ANHEUSER-BUSH, INCORPORATED	11	$1,803
	General Motors	8	$1,719
	DESKMAKERS, INC	6	$1,578
	Express Services Inc	8	$1,557
	ENTERPRISE RENT-A-CAR	8	$1,415
	Housing Authority CIty of Los Angeles	7	$1,353
	Ross Stores, Inc	7	$1,321
	Ventura County Sheriff	4	$1,320
	YRC INC FREIGHT	7	$1,214
	Long Drug Stores California, LLC	6	$1,194
	Wells Fargo Bank	7	$1,193
	Hobby Lobby Stores	6	$1,127
	DOLLAR GENERAL CORPORATION	7	$1,086
	Mongomery Ward	3	$1,015
	VILLAGE JOANN FABRIC AND CRAFTS	4	$953
	Macy's	5	$865
	BAKERSFIELD ARC, INC	3	$827
	Montague Charter Academy	2	$803
	DHL EXPRESS, INC	3	$752
	ARCHDIOCESE OF LOS ANGELES	3	$752
	PERFORMANCE TEAM LLC	3	$729
	TRINITY HEALTH	2	$631
	Humangood	3	$624
	D.D.R. PIZZA, INC	3	$624
	2452 CENTRE POINT/VILLAGE JOANN FABRIC & CRAFTS	3	$603
	Hub Group Inc	3	$594
	PUBLIC STORAGE	4	$590
	STARR COMPANIES	2	$551
	Saputo Cheese	2	$551
	RANCHO SIMI RECREATION AND PARK DISTRICT/CAPRI WORKERS COMP	2	$551
	MILLCREEK ELECTRICAL, INC	2	$551
	M S AEROSPACE INC	2	$551
	Skywest Airlines, Inc.	3	$549
	MCKESSION CORPORATION	3	$549
	AVELO AIRLINES, INC	2	$516
	VONS COMPANIES, INC	3	$496
	THE HERTZ CORPORATION	3	$496
	HERITAGE CARE, LLC.	2	$486
	TRUSTAFF MANAGEMENT, INC	2	$476
	Super King Market	2	$476
	Panda Express	2	$476
	JURUPA RECREATION DISTRICT/CAPRI WORKERS COMP	2	$476
	LAKEWOOD REGIONAL MEDICAL	3	$442
	GROUND SERVICES INTERNATIONAL	3	$442
	ALBERTSON'S	2	$423
	Sony Corp of America	1	$421
	RESTAURANT FRANCHISE CAPTIVE PROGRAM	2	$402
	Montebello Unified School District	2	$402
	American Textile Maintenance	2	$402
	Morley Builders Inc.	2	$398
	SCHNEIDER NATIONAL CARRIERS	2	$348
	SANTA CLARITA VALLEY SCHOOL FOOD SERVICES	2	$348
	RTW RETAILWINDS, INC	2	$348
	Prime Communications L.P.	2	$348
	Langham Hotels Pacific Corporation	2	$348
	LA Missions Hills	2	$348
	Farmers Group, Inc.	2	$348
	COUNTY OF VENTURA FIRE DEPARTMENT	2	$348
	7-Eleven	2	$348
	1556 Cahuenga Partners, LLC	1	$328
	WKS Restaurant Corporation	2	$295
	WESTERN ROADIES INC	2	$295
	VANGUARD CAR RENTAL USA	2	$295
	Transdev Services	2	$295
	Tradesmen International, Inc	2	$295
	SAS RETAIL SERVICES	2	$295
	SAS OVERHEAD GENOPS ALB SO CAL	2	$295
	RITCHIE TRUCKING SERVICES INC	2	$295
	SAFELITE GROUP, INC	2	$295
	PJCA-6	2	$295
	McGee Air Services	2	$295
	LA ARENA COMPANY, LLC	2	$295
	Golden State Water Company	2	$295
	GOLDEN ROAD BREWERY-SAN FERNANDO	2	$295
	Glendale Memorial Hospital and Health	2	$295
	FIRST TRANSIT INC	2	$295
	Excel, INC	2	$295
	Ecology Auto Parts, Inc.	2	$295
	DOLLAR TREE STORES	2	$295
	Delta Air Lines, Inc	2	$295
	CVS Pharmacy	2	$295
	CEC ENTERTAINMENT INC	2	$295
	BLUE SHIELD OF CA	2	$295
	AHSV-ADVENTURES HEALTH SIMI VALLEY	2	$295
	Whittier Area Schools Insurance Authority	1	$276
	Penny Lane Centers	1	$276
	Northridge Hospital Medical Center	1	$276
	National Alamo/ Enterprise Holding	1	$276
	Big Lots	1	$276
	AGGCAO Arch #3	1	$276
	3B HOLDING COMPANY	1	$276
	AHWM- Adventist Health White Memorial	2	$215
	William S. Hart High School	1	$201
	JC Penney	1	$201
	Avibank MFG., Inc	1	$201
	ASCIP	1	$201
	Walgreens	1	$147
	TCI TRANSPORTATION SERVICES, INC.	1	$147
	ST. JOHN'S PLEASANT VALLEY HOSPITAL	1	$147
	SAS OVERHEAD-GENOPS-KROGER-FOOD 4	1	$147
	MOMENTUM	1	$147
	LOS ANGELES SEPULVEDA/ THE PARKING SPOT	1	$147
	Jetsuite, Inc	1	$147
	Hilton Los Angeles/Universal City	1	$147
	High Desert Gateway	1	$147
	DHL Global Mail	1	$147
	DFA Dairy Brands Fluids, Inc	1	$147
	Cor Restaurant Services	1	$147
	Calportland Company	1	$147
	Brightspring Healthcare Services	1	$147
	Bank of America Corp	1	$147
	ADVANCED STERLIZATION PRODUCTS	1	$147
	Lee's Maintenance Service Inc	1	$49
	EVERGREEN PHARMACEUTICAL OF CALIFORNIA	1	$18
	Cal-South Hampton	1	$14
Sedgwick Claims Management Services, Inc. Total		542	$106,017
QBE North American	BLUE CITY HOLDINGS, LLC	1	$610
	IDG HOLDCO, LLC	2	$476
	Tower Wav, LLC	2	$402
	GREEN 16, LLC	2	$348
	MSX INTERNATIONAL, LLC	1	$147
QBE North American Total		8	$1,984
National Interstate Insurance	STORER TRANSPORTATION	4	$581
	Thompson & Harvey Bay Area, LLC	3	$507
	STUDENT TRANSPORTATION OF AMERICA	2	$448
National Interstate Insurance Total		9	$1,537
AmeriTrust Group, Inc.	Kern Harvesting, Inc	2	$402
	TROPHY AUTOMOTIVE DEALER GROUP	2	$348
	Cal Enterprise Labor Solutions	2	$295
	POZZI HILL, INC	1	$276
AmeriTrust Group, Inc. Total		7	$1,320
Grand Total		566	$110,858

We can’t track where premiums go—but we can track every cent of providers’ reimbursements. Click below to learn more:

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