Workers’ comp rates approved
Workers’ compensation rates will continue to rise as of April 1, 2018. Acting Pennsylvania Insurance Commissioner Jessica Altman approved the loss costs submitted under Filing No. C-370: an overall average increase of 0.70 percent in collectible loss costs.
When applied to the loss costs from Filing No. C-369 (the “Protz” filing) – which was approved for use effective Feb. 1, 2018 – the combined impact is an increase of 6.80 percent over the April 1, 2017 loss costs.
As a refresher, the Pennsylvania Compensation Rating Bureau (PCRB) in August 2017 filed for a mid-year 6.06 percent loss cost increase as a result of the Protz v. WCAB Supreme Court case. In its decision, the court struck down a section of the Commonwealth’s 1996 Workers’ Compensation Act reforms, which allows employers to request Impairment Rating Evaluations (IREs) to assess an employee’s level of impairment and determine their disability status – viewed by many as a cost-saving measure for employers. The court ruled unconstitutional a method the Act currently provides for updates to the standards for evaluating a worker’s degree of impairment.
The PCRB’s request for a mid-year rate increase came in response to the estimated impact of losing IREs.
In related workers’ compensation news, Altman also approved revised US Longshore & Harbor Workers “F-Class” rates and related values as of April 1, 2018. The approved rates result in an overall average decrease of 12.40 percent from existing rates.