It’s been more than 10 years since Massachusetts raised its workers’ compensation average rates. Is it time for a rate hike? The state’s insurance commissioner Joseph Murphy will hold a public hearing on March 30 to examine that question.
The Workers’ Compensation Rating and Inspection Bureau of Massachusetts (WCRIB) filed a request on March 1 for an increase. It calls for a 19.3 percent hike in average rates for industrial classes and a 20.0 percent hike for F-Classes. If approved, the average rate increase could be implemented in September.
WCRIB said it recognizes that the request calls for a significant rate increase — but the group noted it’s been more than a decade since the rates rose in the state.
The last rate hike was in 2001, when it rose 1 percent. WCRIB had requested small rate increases in 2008 (2.3 percent), 2010 (4.5 percent), and 2011 (6.6 percent) but none went into effect. “If these increases had been granted, we would not need such a significant rate increase now,” said Paul.
Meagher, president of WCRIB. He also added that current rates are nearly 65 percent lower than they were in 1991, when reforms to the workers’ comp act took effect.
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