The Workers’ Compensation Insurance Rating Bureau will propose simplifying the state’s experience rating formula in 2019 to just three components – actual primary losses, expected excess losses and total expected losses. The change, says the Bureau, will not have any impact on computed mods as the current calculation already gives no weight to an employer’s …
California is proposing the elimination of the first $250 of every claim from the experience rating calculation in a bid to increase reporting of small first aid claims. The Workers’ Compensation Insurance Rating Bureau’s Actuarial Committee approved the concept, and its Classification and Rating Committee is expected to do the same later this spring. But …
The new owner of a staffing company acquired through a bankruptcy sale, according to a decision from the U.S. Bankruptcy Court in New Hampshire, should not be saddled with the prior owner’s workers’ comp experience mod when the business was sold “free and clear” of all interests and encumbrances. The decision covers the sale of …
A central valley contractor received a nine-month jail sentence for cheating his workers’ comp carrier out of $5.4 million in workers’ comp premium by submitting falsified payroll reports. A premium audit that uncovered a second set of payroll records triggered an investigation and ultimately the conviction. Michael Harold Kreger was sentenced to 9 months in …
The California Department of Insurance has ruled the Workers’ Compensation Insurance Rating Bureau was correct in denying an employer the benefit of its self-insured experience in calculating its current experience rating modification (X-Mod). A CDI administrative law judge says the Bureau correctly denied the experience because the employer failed to have the data certified by …
The Workers’ Compensation Insurance Rating Bureau is pushing ahead with plans to clarify existing regulations governing first aid claims. It intends to provide clearer guidance to employers on what constitutes a first aid claim, and when they must be reported to workers’ comp carriers. The ‘cliff notes’ version today is that they must be reported …
A payroll company for the motion picture industry is challenging the legality of State Compensation Insurance Fund’s underwriting practices under its tiered rating system and its application of territorial modifiers. The challenge before the California Department of Insurance’s hearing bureau follows SCIF’s use of a 75.5% modifier to the company’s workers’ comp policy. The challenge …
The Workers’ Compensation Insurance Rating Bureau is moving forward with plans to add an exemption to the experience rating plan for first aid claims in a bid to increase reporting. The plan is coalescing around the idea of excluding a portion of every claim from the X-Mod formula, but the amount of the exemption is …