AB 1683: Workers' Comp Disability Payments by Prepaid Card No Longer Expire in 2027
What changed
AB 1683 (Chapter 59, Statutes of 2026) lets employers keep paying workers' compensation disability indemnity into prepaid card accounts indefinitely. Under prior law that authorization ended January 1, 2027.
Who it applies to
California employers, and the insurers and administrators that pay benefits for them, that use or plan to use prepaid card programs for disability indemnity payments.
Key dates
- Effective date:
- January 1, 2027
Permanent authorization to use prepaid cards for disability indemnity payments takes effect (prior sunset eliminated)
What employers may need to do
- No need to wind down a prepaid card program for disability indemnity payments before January 1, 2027; the authorization no longer expires.
Official source
https://leginfo.legislature.ca.gov/faces/billNavClient.xhtml?bill_id=202520260AB1683Detected by RegWatch monitoring on July 7, 2026. Always confirm details against the official source above — this page is a summary, not legal advice.
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