Workers’ Comp Insurance Hearing Announced – Rates Could Decline
TALLAHASSEE (9/25/2006) – Florida Insurance Commissioner Kevin McCarty today announced a public hearing regarding the proposed workers' compensation insurance rate reduction of 13.3% filed by the National Council on Compensation Insurance, Inc. (NCCI). The hearing will be held in the Senate Office Building, Room 401, South Monroe Street, in Tallahassee at 1 pm on October 9th.
The proposed overall average rate decrease of 13.3 percent statewide would produce a savings of over $400 million for Florida employers, and constitute the fourth consecutive drop since Gov. Bush and the Legislature passed sweeping reforms to the state's workers' compensation system in 2003. The cumulative overall statewide average rate change for the period could total a negative 38.9 percent.
"This further reduction in the workers' compensation rates would be good for small business, and good for Florida's economy," commented McCarty. "In two of the last three NCCI filings, our office ultimately approved rate cuts greater than those advocated by NCCI. We will review this filing and consider testimony from the hearing to ensure Florida policyholders are receiving the total rate reduction they are entitled."
The rate change would be effective for new and renewal business as of January 1, 2007. The Office initially received the rate filing on August 29th. Reasons cited by NCCI for the proposed rate reduction include a drop in claims frequency, reduced costs of claims, enhanced fraud compliance, and compensation reform for attorney and physician fees.
Individuals wishing to comment on the proposed rate reduction can e-mail the Office at firstname.lastname@example.org
# # #