The Workers’ Compensation Insurance Rating Bureau may be requesting a 27.7% jump in the basic workers’ comp rate, but SCIF is raising rates by only 5.2%.
That’s quite a disconnect.
Yesterday’s announcement by SCIF comes at a time when (any moment now) Insurance Commissioner Poizner will unveil his decision on the WCIRB’s recommendation for a pure premium rate hike. Poizner’s decision will not be binding on carriers, of course.
But it’s interesting to note that SCIF’s increase is even less than the range of increase discussed by the Bickmore Risk Services actuary consulting for the “public members” (including labor) at October’s Department of Insurance hearing in San Francisco.
Poizner has repeatedly raised concerns about the WCIRB’s methodology and forecasting. With a new Insurance Commissioner coming in a few months (Democrat Dave Jones), the WCIRB will likely find itself under the spotlight more than ever before.
You can read my recent post on these issues, “Time For More Wac-A-Mole?” by clicking here:
http://workerscompzone.com/index.php?en … 031-082604
Category: Political developments