Workers’ Comp Loss Costs in Kentucky Good News for Employers
A 2008 filing most insurance carriers will use to develop rates for workers’ compensation coverage shows the third straight decrease in loss costs, Department of Insurance Commissioner Sharon P. Clark announced.
The loss cost figures show an average reduction of 5.1 percent for the 596 industrial classes used in Kentucky. These classes include manufacturing, office and clerical, contracting, and goods and services. For coal classes, underground mining costs dropped 10.5 percent while surface mining decreased 8.7 percent.
The National Council on Compensation Insurance produced the filing that the Kentucky Department of Insurance approved to become effective Oct. 1.
“As businesses face tough economic times, this is a welcome piece of news,” said Clark. “Workers’ compensation insurance is a large cost of doing business. This also is good news for hardworking Kentuckians since the report shows a continuing decline in the number of workplace injuries and a slight decline in the severity of those claims.”
Data collected from insurance carriers is used to develop loss costs, which is the average compensation for lost wages, based on the level of disability, plus medical benefit payments. Use of the information is voluntary but most workers’ comp carriers use the NCCI loss cost values as a base to which the insurer’s own loss adjustment and overhead expenses are added to arrive at the rates charged to Kentucky employers.
Source: Kentucky Department of Insurance
- ‘Fearless Girl’ Lawsuit by State Street Settles on Eve of Trial
- 4,800 Claims Handled by Unlicensed Adjusters in Florida After Irma, Lawsuit Says
- Growing Progressive Set to Hire 10,000 for Claims, IT, Other Roles
- Florida’s Home Insurance Industry May Be Worse Than Anyone Realizes
- Report: Vehicle Complexity, Labor ‘Reshaping’ Auto Insurance and Collision Repair
- Property Restoration Industry: A Culture in Need of Repair?
- Millions of Recalled Hyundai and Kia Vehicles, With Dangerous Defect, Remain on Road
- Poll: Consumers OK with AI in P/C Insurance, but Not So Much for Claims and Underwriting