Source: US State of Oklahoma
OKLAHOMA CITY – Commissioner Glen Mulready and the Oklahoma Insurance Department approved a 5.1% percent decrease in workers’ compensation insurance loss costs for 2020. This will mark the ninth annual experience filing with a decrease
The new loss costs go into effect on January 1, 2020. Loss costs are the average cost of lost wages and medical payments of workers injured during their employment.
Commissioner Mulready said, “The biggest driver in bringing down the loss costs portion of premiums, is what is actually paid out in claims, and the reduction in the number of claims filed.” The state’s lost time claim frequency continues to decrease under the new commissioner and is projected to continue its downward trend into 2020.
“This is excellent news for Oklahoma businesses,” Mulready said. “The decline in workers’ compensation rates will lower the cost of doing business in our state. I will continue to work hard and help create a more business-friendly environment for all sectors.”
The National Council on Compensation Insurance (NCCI), a rating and advisory organization, collects annual data on workers compensation claims for the insurance industry. NCCI publishes loss costs that form the basis for all workers compensation premium determinations. Oklahoma insurers use the NCCI loss costs as a base.
The new loss costs, recently approved, will go into effect for new and renewing policies effective January 1, 2020.
About the Oklahoma Insurance Department
The Oklahoma Insurance Department, an agency of the State of Oklahoma, is responsible for the education and protection of the insurance-buying public and for oversight of the insurance industry in the state.
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