There’s been a lot of confusion regarding upcoming changes for Workers' Compensation rates and rightly so. The Workers’ Compensation Insurance Rating Bureau of California wants to lower the current rate by 1.8% based on what businesses are currently being charged but last year the same bureau wanted to increase rates by around 27%. So which is it?
Here’s what you need to know.
For the vast majority, the rates are essentially going to stay around the same. There was a new way of calculating the numbers but the bottom line is, virtually no change. The old rate (average premium) is $2.37 per $100 of payroll. The 2012 rate? $2.33 per $100 starting January 1, 2012
While a large number of rates will see no increase, it pays to check for your specific classification. Most will see no or slight changes. However, there are still quite a few that will see increases of more than 30% and there are eighty that will see increases of over 50%. To see where you stand click here. But I warn you it’s a massively boring document but you can go straight to "Exhibit 2" starting at page 13 or just fill out the form to the right and we’ll do your research for you and get it for you.
If you need help differentiating the rhetoric from the reality, contact one of our very helpful customer service representatives at Leaders Choice and let us help you navigate the new rate proposal and make sure that you are paying the lowest amount for the greatest amount of coverage.