WCIRB Report on Insurer Experience Released

The Workers’ Compensation Insurance Rating Bureau of California has released its report insurance experience through Sept. 30, 2004.

Highlights of the report include:

California written premium (gross of deductible credits) reported for the first nine months of 2004 is $18.1 billion. This is approximately 17 percent above the written premium reported for the first nine months of 2003.

The average statewide insurer rate (final insurer rates reflecting all rating plan adjustments except deductible credits, retrospective rating plan adjustments, and policyholder dividends) per $100 of payroll for policies written in the third quarter of 2004 is $5.34. This is 7 percent below the rates charged on policies incepting in the first half of 2004 and 16 percent below the average rate charged for policies incepting in the second six months of 2003.

After reflecting the estimated impact of AB 227, SB 228, and SB 899 on unpaid losses, ultimate accident year losses for 2003 are projected by the WCIRB to be $11.6 billion. This represents a decrease in estimated losses of approximately 9 percent from the ultimate losses currently projected for accident year 2002.