Sacramento, CA — A government watchdog group is calling on Governor Schwarzenegger´s campaign to return a $105,000 donation from the insurance industry because it coincided with his veto of a bill the group opposed.
The American Insurance Association donated the money Friday, the same day the governor vetoed S-B-399.
The bill would have forced insurers to pay medical costs when people who are covered by Medi-Cal are injured in an accident caused by an insured driver. Medi-Cal pays those costs now.
Schwarzenegger said he rejected the bill because they would encourage litigation and would drive up medical costs.
Rob Stutzman is a spokesman for Schwarzenegger´s California Recovery Team, which received the donation. He says the governor´s policy decisions have no connections to campaign contributions.
He also says there´s no reason to consider returning the donation.