The National Council on Compensation Insurance (NCCI) has filed a proposed reduction in workers’ compensation loss cost rates with in West Virginia – the tenth consecutive reduction in 10 years.
NCCI, West Virginia’s rating agent, has proposed an overall 9.1 percent loss cost rate decrease effective Nov. 1, 2014.
The decrease amounts to $32 million in savings in the coming year.
Since the program was privatized in 2005, rates have been cut by $280 million.
“We’ve worked hard in West Virginia to create a business climate that encourages companies to innovate, expand and create new jobs,” Gov. Earl Ray Tomblin said. “With this rate reduction, our businesses are reaping the rewards of both lower taxes and lower workers’ compensation insurance premiums. The new rates are an excellent sign that our state continues to move in the right direction for continued job growth.”
This reduction serves as the tenth consecutive decrease in loss costs since privatization and accounts for a cumulative decrease of 58.7 percent from pre-reform levels.
“This rate reduction, and the related premium savings to employers, is a positive indication of the progress that has been made in our market,” said Insurance Commissioner Michael D. Riley. “We are encouraged that our workers’ compensation market continues to move in a positive direction for our businesses and their employees.”
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