Workers’ Comp. Insurance Rates Drop for Fourth Consecutive Year

Decrease and Workplace Safety Program save businesses money during unprecedented time

Insurance Commissioner Trinidad Navarro announced today that workers’ compensation insurance rates will decrease for the fourth year in a row, effective December 1, 2020. The voluntary market is seeing yet another double-digit decrease in loss costs, with an average 11.56% reduction, and residual market rates will go down an average of 8.8%.

“For four consecutive years we have been able to decrease workers’ compensation costs for businesses of all sizes. This year’s reduction will help decrease business expenses as we continue to experience the economic effects of the COVID-19 pandemic,” said Commissioner Navarro. “These lower costs can attract new companies to our state and increase employment opportunities as many organizations look to move out of major metropolitan areas.”

The Delaware Compensation Rating Bureau (DCRB) approved the lower rates after discussion with the Department of Insurance and the State’s Ratepayer Advocate. The approval process includes a review by actuaries for the parties, as well as a public hearing. It is important to note that actual savings may differ and will vary by policy. Last year’s decreases saved businesses more than $4 million in premiums.

These lower rates are just one component of several efforts shepherded by the Department to help businesses financially. More than 1,100 employers are saving even more money on their workers’ compensation premiums by participating in the department’s Workplace Safety Program. Last year’s savings was approximately $7.6 million. Eligible businesses can earn up to a 19% discount on their insurance by providing and maintaining a safe place to work.

“Now more than ever, increasing workplace safety and decreasing business overhead is so important,” said Commissioner Navarro. “Our inspectors are working extremely hard to negotiate challenges caused by COVID-19 and are doing an impressive job completing safety audits during these extraordinarily unusual circumstances. I want to commend them and our entire Workplace Safety team for their incredible work.”

Eligible businesses are notified about the program each year seven months prior to their renewal date, but late applications are being accepted as many businesses were closed when they were notified of their eligibility. Organizations interested in participating can access questionnaires online and contact safety@delaware.gov to begin the process.

Interested employers are urged to note on their questionnaires their current hours and best point of contact if these have been adjusted due to COVID-19 so inspectors can plan site visits. A physical walkthrough is still required for employers to earn a safety discount. Only benefits can be gained by participating, failure to qualify cannot be the basis for premium increases or sanctions imposed by other safety enforcement officials.

View the DCRB website


Companies Save Over $4 Million From Reduced Workers’ Compensation Rates

Workplace Safety Program saves $7.6 million for participants

The Delaware Department of Insurance has analyzed new filings from the state’s top writers of workers’ compensation insurance after announcing the third consecutive year of decreased rates in November. The top writers represent nearly 10,000 companies that hold policies within the state. Policyholders of these companies will see a total premium impact of more than $3.7 million, and when the entire writer universe is included, the Department expects realized savings of more than $4 million.

“Delaware businesses large and small are seeing decreased premiums from the third consecutive year of workers’ compensation rate decreases, and that benefits everyone,” said Commissioner Trinidad Navarro. “We will continue to work to make sure that Delaware has an inviting atmosphere for businesses and safe environments for employees.”

Technology Insurance Company, Inc.’s filing shows that their reduction will save policyholders a total of $845,594. Wesco Insurance Company’s total premium change of $651,721 takes the second-place spot for savings, while eight other top insurers are reporting six-digit premium impacts. Of the state’s top writers, American Zurich Insurance Company filed with the largest overall percentage rate impact, a decrease of 17.50%, with five other companies posting double-digit drops.

While realized savings will vary business to business, more discounts can be accessed through the Workplace Safety Program offered by the department. In 2019, 1,119 companies participated in the program, saving a combined $7.6 million through safety credits on their $72.9 million employer premium total – a savings of more than 10%. Businesses can earn discounts of up to 19% by providing and maintaining a safe place to work. More information on this program is available at insurance.delaware.gov/services/workplacesafety.

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Commissioner Stewart Posts Reports on Proposed Workers’ Compensation Rate Filings

Commissioner Stewart Posts Reports on Proposed Workers’ Compensation Rate Filings

Documents Available on New DOI Webpage

 

DOVER, DE – Insurance Commissioner Karen Weldin Stewart announced today that the Department of Insurance has posted three actuarial reports evaluating proposed 2016 workers’ compensation rates to the DOI website.

 

Milliman, Inc. and INS Consultants, Inc., two independent actuaries engaged by the Department of Insurance, and AIS Risk Consultants, a third independent actuary working for Delaware’s Ratepayer Advocate, have filed reports evaluating proposals for both residual market rates and involuntary market loss costs, as submitted by the Delaware Compensation Rating Bureau (DCRB) under Filing 1502.

 

The actuarial reports and all documents related to Filing 1502 are available on a new “Dockets” section of the DOI website, established by Commissioner Stewart to provide greater transparency in the workers’ compensation rate-making process. For access, go to http://www.delawareinsurance.gov/departments/documents/dockets/

 

Commissioner Stewart reminds the public that three public information sessions regarding Filing 1502, one in each county, have already been announced:

 

Tuesday, October 20, 2015, at 2:00 p.m.

Insurance Department

841 Silver Lake Blvd., Dover, DE 19904

 

Tuesday, October, 20, 2015, at 7:00 p.m.

Delaware Technical Community College – Owens Campus

Theater Auditorium – Arts & Science Center

21179 College Drive, Georgetown, DE 19947

 

Wednesday, October 21, 2015, at 6:00 p.m.

Carvel State Office Building, 2nd Floor Auditorium

820 North French Street, Wilmington, DE 19801

 

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For more information:  Jerry Grant 302-674-7303

Department of Insurance: www.delawareinsurance.gov | 302-674-7300


Department of Insurance Schedules Public Information Sessions on Workers’ Compensation Rates

 

Department of Insurance Schedules Public Information Sessions on Workers’ Compensation Rates

DOVER, DE – Insurance Commissioner Karen Weldin Stewart announced today that the Department of Insurance will hold three public information sessions regarding Delaware Compensation Rating Bureau Filing No. 1502, which proposes workers’ compensation insurance rates for the upcoming year:

 

Tuesday, October 20, 2015, at 2:00 p.m.

Insurance Department

841 Silver Lake Blvd., Dover, DE 19904

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Tuesday, October, 20, 2015, at 7:00 p.m.

Delaware Technical Community College – Owens Campus

Theater Auditorium – Arts & Science Center

21179 College Drive, Georgetown, DE 19947

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Wednesday, October 21, 2015, at 6:00 p.m.

Carvel State Office Building, 2nd Floor Auditorium

820 North French Street, Wilmington, DE 19801

 

The purpose of the three public information sessions is to provide information to the public on the process followed by the Delaware Compensation Rating Bureau (DCRB) in the preparation and filing of Filing No. 1502, and the process followed by the Department of Insurance in reviewing Filing No. 1502.  The public information sessions are not the forum to discuss or debate the merits of the DCRB rate filing, or whether it should be approved or disapproved.  Those topics will be the subject of a future public administrative hearing.

 

The docket number assigned to this matter is 2916-2015. A copy of Filing No. 1502 can be located online:

http://www.dcrb.com/dcrb/filings/1502/d_filing_1502.htm

 

The public is invited to make comments in writing or orally at the public information sessions.  Written comments must be received no later than Monday, October 19, 2015, by 4:00 p.m., and should be addressed to the attention of Rhonda West, Regulatory Specialist, Delaware Department of Insurance, 841 Silver Lake Boulevard, Dover, DE 19904; or can be sent via email to mailto: DOI_WorkersComp@delaware.gov  Any public comment submitted, along with the names and addresses of those submitting public comments, will be published on the Delaware Department of Insurance website and is subject to release under 29 Del. C. §§ 10001 – 10006.

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For Immediate Release
For more information contact
 Jerry Grant at 302-674-7303

 


Department of Insurance Recovers Nearly $1 Million for Delaware Consumers through June 2015

Department of Insurance Recovers Nearly $1 Million for Delaware Consumers through June 2015

Businesses Also Saved Almost $4 Million in Workers Comp Premiums

DOVER, DE – Insurance Commissioner Karen Weldin Stewart and the Delaware Department of Insurance announced today that its Consumer Services Division has recovered $995,558.73 for consumers during the first six months of 2015. Delaware employers have also saved approximately $3,978,296.00 in workers compensation premiums during the same period through the Department’s Workplace Safety Program.

The Consumer Services Division received 2,345 formal insurance coverage complaints and inquiries regarding automobile, homeowner’s and health policies between January 1 and June 30, and directly recovered $543,052.39 from insurers on Delaware policyholders’ behalf. The Division also conducted arbitration hearings requested by or on behalf of policyholders, which netted consumers $452,506.34 in arbitration awards.

“Our Consumer Services Division staff continues to fight for Delaware consumers,” said Stewart. “We want people to know about their rights and options when dealing with insurance companies. Policyholders can always turn to us for free and unbiased assistance with their insurance questions.”

Commissioner Stewart is also happy that the Workplace Safety Program continues to save workers compensation costs for Delaware businesses.  “I know insurance premiums are a significant part of the cost of operating a business, big or small.  This program is great because it benefits employers and employees.”

The Workplace Safety Program incentivizes employers to establish and maintain safe workplaces. The program provides businesses with the opportunity to earn discounts of up to 19 percent on their workers’ compensation insurance premiums by meeting certain safety requirements and agreeing to undergo periodic inspections. The $3,978,296.00 savings figure, provided by the Delaware Compensation Ratings Bureau, is approximate because businesses may pay their workers compensation insurance premium annually, quarterly, or by some other schedule.

For help with general insurance matters, call the Department at (302) 674-7300. Call (800) 282-8611 for Consumer Services. For more information on the Workplace Safety Program call (302) 674-7377.Go to our website at www.delawareinsurance.gov, and visit our Facebook page, www.facebook.com/DelawareInsurance. Follow us on Twitter @Delaware_DOI.

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For immediate release.
Media Inquiries? Contact: Jerry Grant @ 302-674-7303
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Delaware Dept. of Insurance: www.delawareinsurance.gov | 302-674-7300