California's largest insurer will raise rates. The State Compensation Insurance Fund announced it will raise its rates an average of 5.2 percent in January 2011. SCIF is California's largest workers' comp insurer and covers approximately 80,000 employers.
In a statement, the SCIF said the increase reflects only the inflation to claims costs. The organization also announced it will give policyholders more flexibility to choose how their workers' comp policies will be serviced, by recognizing broker of record letters for its direct accounts, and pay commissions for those accounts in accordance with its 2011 Broker Agreement.
Fund assessment rates sent to insurers. Final year 2010-11 assessment rates for the state's workers' comp funds have been posted. The $404.9 million reflects an overall decrease in the aggregate assessment dollar amount of about $1.7 million from the 2009-10 assessment.
Letters and invoices were sent to insurers and self-
insured employers showing the share of the assessments and surcharges due.
The money pays for the budget of the Division of Workers' Compensation and the following workers' comp programs:
- Workers' Compensation Administration Revolving Fund.
- Uninsured Employers Benefits Trust Fund.
- Subsequent Injuries Benefits Trust Fund.
- Occupational Safety and Health Fund.
- Labor Enforcement & Compliance Fund
- Workers' Compensation Fraud Account.
Washington employers, workers to pay higher premiums.
Workers' comp premiums are set to increase by 12 percent in Washington. The state's Department of Labor and Industries said the new rates take effect Jan. 1, 2011, under an emergency rule that is effective for 120 days; but it announced it will hold public hearings in January to gather comments about the proposed increase before adopting permanent rates.
Washington is the only state where workers pay part of the premiums.
Read more at the WorkersComp Forum homepage.
January 3, 2011
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