Decrease OK’d in workers’ comp loss cost rates

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By: Phil Drake 

State Insurance Commissioner Matt Rosendale said Wednesday he approved a nearly 11 percent reduction in Montana workers’ compensation loss costs — the biggest decrease in seven years — that will take effect July 1.

The 10.7 percent overall average decrease was filed by the National Council on Compensation Insurance (NCCI).

“This is fantastic news for Montana’s businesses, from small mom and pop shops to large companies,” Rosendale said in a news release, adding the decrease follows bipartisan reforms he helped pass as a state senator in the 2011 legislative session.

Loss costs are the dollars needed to pay the workers’ compensation benefits plus an amount for claims adjusting, such as taxes and other contingencies, officials said…

“There should be some real positive news for employers in regards to workers comp,” said Kevin Braun, general counsel for Montana State Fund.

Rosendale said lowering the cost of doing business improves the environment for creating jobs and opportunity for Montanans.

The approved loss costs will also used by private workers compensation insurers in establishing premiums.

Read more at the Great Falls Tribune