The California Insurance Guarantee Association projects that it will be nearly $160 million in the red on the deposit from the failed Lumbermens Mutual Casualty Company. But there is also some good news: An Illinois court is keeping the hole from getting even deeper despite the best efforts of the Illinois Department of Insurance to …
High attorney involvement, elaborate regulatory schemes, medical care conducted on a lien basis, and scores of cumulative trauma claims filed on a post-termination basis are just a few of the unique factors that make California’s workers’ comp system the most expensive in the nation. California’s loss adjustment expense (LAE) ratio is nearly double the national …
The initial projected $200 million in net savings per year from the SB 863 workers’ comp reforms is turning out to be a $1.3 billion per year windfall for the workers’ comp system, and more savings could still materialize. So too could additional costs. The latest industry report on the system’s post-reform costs shows that …
California Insurance Commissioner Dave Jones adopted the industry’s recommendation for a 5% cut in the state’s workers’ comp advisory pure premium rates for policies incepting or renewing on or after July 1, 2016. The mid-year cut is being driven mostly by continued improvement in medical loss costs. However, the public members of the Bureau’s Governing …
Workers’ comp carriers in California are on pace to write nearly $18 billion in workers’ compensation premiums for 2015. The projection is from the Workers’ Compensation Insurance Rating Bureau at the half-way point. The total premium before deductible credits is up approximately 9% over the 2014 total at the same point last year. The study does …
Earned premium in the California workers’ comp market was up 19% last year according to the Workers’ Compensation Insurance Rating Bureau and the vast majority of the increase is due to the rate hikes by carriers. These increases have pushed the average filed rate in the state to $2.56 per $100 of payroll while the …
Early results from 2013 indicate that at least in the short run the reforms are making it significantly more expensive to adjust claims. IMR may be the killer app – no literally – the killer of savings. The carrier controlled and funded Workers’ Compensation Insurance Rating Bureau is beginning to look at the latest claims …
“It’s going to be in the ball park of 30%,” chief actuary Dave Bellusci tells Workers’ Comp Executive. “But I wouldn’t be surprised if it’s over.” Workers Compensation Insurance Rating Bureau (WCIRB) staff still has to finalize the calculations before preparing a pure premium advisory rate recommendation for the Governing Committee, it says, so the …