CHARLESTON, W.Va. — West Virginia has received a reduction in workers’ compensation loss cost rates from the National Council on Compensation Insurance (NCCI).

Governor Earl Ray Tomblin made the announcement Monday.

NCCI filed a proposed 8.8 percent overall decrease with the West Virginia Insurance Commissioner which will result in $36 million of projected premium reductions for West Virginia employers. In addition, NCCI filed an 8.5 percent rate decrease in the residual market as part of the filing.

This new loss cost rate, which is effective November 1,
serves as the ninth consecutive decrease in loss costs since privatization and accounts for a cumulative decrease of 48.1 percent from pre-reform levels.

This proposed loss cost reduction follows the reduction in the workers’ compensation regulatory surcharge from 5.5 percent to 5 percent effective January 1, 2013, which will result in further cost savings to West Virginia employers.

Loss cost is the estimated amount necessary to pay all medical and indemnity costs associated with workers’ compensation claims. All workers’ compensation insurance carriers use loss cost to calculate rates.

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Comments

  • Joe

    RHytonen

    Nice thoughts, but other than collecting your welfare check, do you have a clue as to how the economy or economics for that matter work?

    As the rest of the world is throwing aside socialist economic poloices and embrasing capitalist philosophies the US and WV have deciced to go down a soicalist path the history shows is a path to failure.

    • mntrbob

      agreed, so many things wrong in so few words in the above rant by RHytonen.

  • RHytonen

    and that's exactly what's wrong with for-profit insurance of ANY kind.

    Businesses must never be allowed to avoid risk by passing it on to the customer, nor to guarantee their own profit irrespective of market forces ("hedge," or sell off risk,to mention the LEAST-but still- egregious methods.)

    These will always be abusive to the customer at large, and are responsible for the current oppressive guaranteed inequality that has destroyed the middle class and the economy.