Maine workers' comp average premium to fall
From staff reports
November 3, 2009
The Maine Bureau of Insurance has approved the National Council on Compensation Insurance's request for a decrease in workers' compensation loss costs for policy year 2010 by an average of 7 percent.
As approved, the loss costs would reduce premiums in the insured market by about $14.4 million. The effective date for the proposed rates is Jan. 1, 2010.
NCCI is the advisory rating organization for insurers that offer workers' compensation coverage in Maine. Loss costs are the portion of premiums that covers the cost of benefits.
"This requested decrease is indicative of Maine employers' continued efforts to promote safety in the workplace," said Superintendent Mila Kofman.
"In this kind of environment, claims are less frequent, and NCCI's loss costs filing indicates that the frequency of claims is decreasing faster than any increase in medical and indemnity costs for each claim. This, combined with the recent announcement by Maine Employers Mutual Insurance Co. of a $10 million dividend to policy holders, is great news."
Kofman said the 7 percent reduction is an average. While many employers will see a cut, some will see an increase.
