State officials expect workers’ compensation insurance rates in Louisiana to drop by 2.7% next year.
Both the Department of Insurance and the Louisiana Workforce Commission confirmed that the cut was endorsed by the National Council on Compensation Insurance (NCCI). It is projected to take effect on May 1, only awaiting final approval from officials of the Department of Insurance.
The insurance commissioner’s office said most workers’ compensation carriers in the state use the NCCI’s annual cost filing to formulate rates.
Officials say the decrease is due to several factors, including a competitive market, the enactment of guidelines to improve worker treatment, and the decrease of reported severe work-related injuries.
The insurance commissioner’s office added that the reduction next year will mark an overall decrease in workers’ compensation rates of 38% since 2006, and 51% since 1996.
