WCIRB Releases Preliminary Cost Impact of WC Reform

On Sept. 12, 2003, the California Legislature passed Assembly Bill 227 (AB 227) and Senate Bill 228 (SB 228). It has been reported that these bills, which are intended to reduce workers’ compensation costs, will be signed by the Governor.

The Workers’ Compensation Insurance Rating Bureau (WCIRB) is preparing a formal evaluation of the cost impact of this legislation. This formal evaluation will be submitted to the Insurance Commissioner at the continuation of the Jan. 1, 2004 pure premium rate hearing that is scheduled for Sept. 29, 2003. In the interim, the WCIRB has prepared a preliminary cost assessment of the legislation.