California Lawmakers Weigh Expansion of Mental Health Coverage in Workers’ Comp

June 13, 2025 | Sacramento, CA – MedLegalNews.com – California lawmakers are actively discussing expanding mental health coverage within workers’ compensation claims. The proposed changes aim to provide injured workers with comprehensive care that includes psychological injuries alongside physical ones. This focus on mental health coverage workers’ comp reflects a growing awareness of workplace-related psychological conditions.

Proposed Changes to Workers’ Compensation Coverage

Under current regulations, workers’ compensation primarily covers physical injuries sustained on the job. However, legislators want to broaden this to include mental health treatments such as therapy and counseling. Expanding mental health coverage workers’ comp would align California with other states that already recognize psychological claims in their workers’ compensation systems. This change would ensure timely access to mental health care for employees suffering from workplace stress, trauma, or mental disorders.

Benefits for Workers and Employers

Expanding mental health coverage workers’ comp offers multiple benefits. Early access to mental health treatment can reduce the duration and severity of claims. Moreover, employers may see reduced long-term disability costs and improved workforce productivity. The proposal encourages proactive care and helps lessen the stigma around seeking mental health support.

Preparing for Potential Regulatory Updates

This legislative effort signals a shift toward more comprehensive worker protection. Employers and insurers should closely follow these developments and prepare for possible compliance updates. Injured workers stand to benefit from better support for both physical and psychological injuries that arise from workplace incidents.


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