The Wisconsin Commissioner of Insurance on Monday approved an overall 6.03 percent rate decrease for Worker’s Compensation (WC) premiums for businesses, effective Oct. 1, 2018. This is the third consecutive year WC rates have declined, following an 8.46 percent decline in 2017, and a 3.19 percent decline in 2016. The latest reduction in premiums is expected to result in an annual savings of about $134 million for Wisconsin employers.
“This is more good news for Wisconsin’s Worker’s Comp program. Wisconsin is already a national model, with faster return to work, fantastic patient satisfaction and ready access to the highest-quality health care in the nation—all at a cost per claim that is below the national average,” said Mark Grapentine, the Wisconsin Medical Society senior vice president of Government Relations. “This announcement is just more evidence that Wisconsin’s system is win-win for both businesses and their employees.”
The Society, working in partnership with other health care groups, has repeatedly defeated efforts to impose an artificial fee schedule on health care services provided to injured workers. Bills creating a fee schedule have failed to move beyond the state legislative committee stage in both the current 2017-2018 biennium and in the 2013-2014 biennium.
WC rates are adjusted yearly by a committee of actuaries from the Wisconsin Compensation Rating Bureau. The committee studies the prior losses (claims) of hundreds of categories and professions throughout the state’s employment pool and submits a rate recommendation to the Office of the Commissioner of Insurance, which has final approval over the rates.
“A safe workplace results in a more productive and profitable one for employers,” Commissioner of Insurance Ted Nickel said in this announcement, released by the Department of Workforce Development. “Employers are recognizing the relation between their employees’ safety and the savings that ensue as premiums continue to decline.”
Most employers in Wisconsin are required by law to have Worker’s Compensation insurance. For more information, visit the Department of Workforce Development website.
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