The Maine Bureau of Insurance confirmed that typical workers compensation premiums will not be going up for 2007.
The department reported that the National Council on Compensation Insurance (NCCI) will not be filing a request to change workers’ compensation loss costs for policy year 2007. NCCI is the advisory rating organization for insurance companies that offer workers’ compensation coverage in Maine. Loss costs are the portion of premium that cover the costs of benefits.
“The Bureau of Insurance reviewed the underlying assumptions and trends that NCCI used to make its determination and agreed that the rates should not be increased this year,” stated Deputy Superintendent Eric Cioppa.
“The good news is that the decision to keep loss costs stable will benefit all employers because their premiums will remain the same for all industry classifications. The decision to leave the loss cost as it is reflects a continued decrease in the frequency of loss of time claims. Maine’s workers’ compensation market continues to reflect the stability of our workers’ compensation laws and the safety efforts of Maine employers,” stated Cioppa.
NCCI-approved loss costs are available to insurers to reference when filing their workers’ compensation rates with the Bureau of Insurance. Maine currently has a competitive market for workers’ compensation insurance and each insurer will set its own rate level. Each insurer may modify the NCCI loss costs and must select its own expense and profit factor in setting its rates.
Source: The Maine Bureau of Insurance
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