Good points in this letter to the LATimes:

"doctors, lawyers and insurance companies who benefit from this $30-billion extortion", "California employers pay two to three times more than the rest of the country and give legitimately injured workers the worst benefits in the nation".

I would bet that this business owner voted to recall the sitting Governor and voted to elect Schwarzenegger. She blames the state legislature for this situation, and I can't argue much about any negative evaluation of that snake pit. To blame our porky representatives for the greed and robbery of the insurance companies is ultimately disingenuous.

Insurance companies, barring 9/11 losses, are having a great year, and a great decade. They spread out your-and-my money by investing it, so their stock market profits have been flat over, say, five years. Is it any surprise that given the opportunity, and legal possibility, they raise rates when and where they can? Since WC insurance is required of employers by state law, state law should also reasonably regulate what the employers can be charged.

Given that studies show that Californians are nearly 50% more likely that the residents of other states to file WC claims, we have to know that human nature will rear its beautiful head when allowed. This does not mean that we can let Business Nature grab small businesses (who insures the insurers?...) and toss them (at least the cowardly, unimaginative and racist among them) to neighboring states.