The New York Department of Financial Services on Monday approved a revised loss cost filing from the New York Compensation Insurance Rating Board (NYCIRB) with an effective date of Oct. 1, 2013.
As a result, policyholders in New York State are projected to experience an overall increase in workers’ compensation costs of approximately 2.8 percent.
The NYCIRB first filed an application on May 14, 2013, requesting a workers’ comp overall loss cost increase of 16.9 percent. As the application sought a loss cost increase in excess of 7 percent, a public hearing was held in accordance with the state’s insurance law.
The Department of Financial Services disapproved the application in its Opinion and Decision on July 11 and invited the NYCIRB to refile. In its Opinion and Decision, the department stated its analysis indicates that an increase of no more than 9.5 percent would be reasonable.
On July 12, 2013, the NYCIRB refiled its application with the department, which was then approved by the department on July 15 (a PDF file link). The overall projected cost increase passed on to policyholders of approximately 2.8 percent consists of a 9.5 percent loss cost increase and the anticipated 2014 New York State assessment reductions. Additional information can be found at the New York Department of Financial Services website.