An Update on Work Comp Rates for Employers

FJ Thomas

Sarasota, FL ( – October was the month of reductions in work comp employer costs for many states this year. See below for specifics on costs and recent news in multiple states.


· 13.8 percent decrease proposal effective January 2019, according to Jim Saunders of the Orlando Sentinel

· This follows a 9.5 decrease effective 2018


· 10 percent decrease for private insurance market, 7 percent decrease for residual market effective in December 2018, writes Nick Ciolino of Delaware Public Media

· Reduction in cost can be attributed to 2014 legislation that reduced medical bill costs by 33 percent over three years


· 19 percent decrease effective March 2019, per a state Dept. of Commerce & Insurance release

· 12.8 percent reduction was approved in 2017, and 12.6 percent in 2018

· Can be attributed to 2013 legislation that worked to improve work comp and led to a 48 percent loss cost reduction


· 6.4 percent decrease for voluntary, 10.8 percent decrease for assigned, effective 2019, according to Insurance Journal

· Since 2015, there has been a 45 percent overall average decrease for voluntary, 50 percent decrease in assigned

North Carolina

· 17.2 percent average decrease effective April 2019, per a state Industrial Commission release

· 15.8 percent average decrease for manufacturing, 16.5 percent average decrease for contracting, 19.3 percent average decrease for clerical/office and goods, 14.7 percent average decrease for miscellaneous

· 12.5 percent decrease was proposed in 2017, 8.5 percent decrease in 2016


· 4.2 percent decrease effective January 2019, per the Times-News, featured in

· Can be attributed to a decline in frequency of claims for lost time, and lower average cost of claims


· 7.6 percent decrease effective 2019, per Patrick McGerr and Taylor Haggerty of

· 9 percent decrease in 2017, 13 percent decrease in 2018

· Estimated $62.7 million savings for businesses in the state

The reductions have been due in part to employers working with insurers to improve workplace safety, resulting in fewer claims filed, according to a recent article by Louise Esola for The article also credited workers’ comp reform and legislation as contributing factors.

News brought to you by