But did you know, according to the California department of insurance 2011 has a workers comp loss ratio of only 60.38%, only 5 other years in the last 20 years of data were lower than 2011, the average in the last 10 years is 66%, the worst years in the last 20 were 1999 & 2000 (104% & 108%). So…if any of this makes any sense, it is that the expense ratio is too high and that is a carrier problem not a loss ratio problem. It may just be that carriers investments are down & payrolls are down and THAT is the real issue for insurance carriers – welcome to our economy! But raising rates 30%-400% over 18-24 months is not the way to do it carriers. I happy to say that most of our clients are only seeing 2%-5% rate increases, but we get plenty of last minute calls from those that trusted their agents and are winding up with the 30%-400% increases.
Just got the renewal information for my workman’s comp for my residential cleaning company the other day. I employ 8 people and my rates will increase from 20.22% to over 35% per every 100 of payroll when my policy renews in April!! That will equate to an extra $14 in premiums for every $100 of payroll for my small business. To top that all off, I have had 1 (one!!!!) loss in 27 years of business! The system is broken people. I am going to have to ask all of my clients to raise their rates in order to just stay afloat. Who wins?!?!
who wins the illegals that have flooded this country since obama took over and dont pay workers comp . people need to wake up and it starts at the top …REAL CHANGE NOW
!!!
I am an also in the residential housecleaning business. Also had only one small claim (about 1,000.) in the past 8 yrs and just got my rates increased. The long and short is our legislators are responsible for allowing this to happen. Other states have legislators smart enough to have a system that works. Our legislators are ordered by the unions and attorneys to pass legislation that harms small business. If other states can figure it out why are our legislators so dumb that they can not pass laws to create a system that works like other states.
Being in insurance and having a WC injury, I can honestly say that if I’m not treated anywhere close to good, I’ll be the one setting precedent. And I’m not the only one. I was just reading these new 2013 WC laws and they seem to punish workers for no fault of their own. WC in Calif is NO Faulr,,, Period, And some of the larger corporations will use it to get rid of injured workers.
I agree. I sustained a horrible injury in 2005. This new law bypasses my own PTP and pain management doctor. I had to sign an appeal giving up my right to appeal any decision made by some “doctor” that has absolutely no direct contact with me. Psycholoicly it’s torture. Oh, I forgot to mention the SCIF attornies that called me every year after my settlement asking if I wanted to change and “take control” of my future medical decisions” (and costs)…or else. This was absolutely extortion. Now I feel like a bird, sitting on a fence, waiting to be shot.
If anyone knows of suits or attornies willing to help, I’d like to know.
Thank you.
the CA workers comp reforms was nothing more than throwing the baby (injured worker in this case) out w/the bath water. I settled for lifetime medical back in the early 90’s & thought I wouldn’t have to worry going forward for medical care w/re to my work related back injury. I didn’t want the money the insurance company was offering at the time as it was nothing short of an insult. Having said this, w/the new reforms (which those who have no clue believe are wonderful) apparently the insurance Co can now on an annual basis deny my claim via rubber stamp denial by some Dr. who never met me & practices in another State (Texas in my case). This “Dr.” has not once made an attempt to contact me by phone & I highly doubt he’s even seen any of my mri’s. That said, now I find that I must go through this new IMR (Independent Medical Review) which replaces the QME (Qualified Medical Eval) that I was forced to go through ea yr pretty much since 2009. Each QME ruled in my favor & thankfully my care continued after being awarded judgment via QME. Now w/the new IMR, I’m not so sure just how “independent” this process truly is. Some outfit that goes by the name of “Maximus” has been contracted out by the Insurance Co is going to be the one who hears my appeal…an appeal for which under these new reforms I am not allowed to show up to represent myself….the injured worker isn’t even allowed to have an attorney present to represent them. Indeed, the new reforms have all but eliminated employee representation via attorney. now don’t get me wrong here, I’m all for limiting all the attorney’s seem to have their hands in these days, however, to not be able to have ANY official representation whatsoever during the IMR to me is nothing more than a sham. My attorney of record (the one who settled my case in the early 90’s (yes, he’s still practicing) tells me that I have approx. 15-20% chance at best of winning the IMR…at least this is what they are seeing w/this new appeals process. I could go on here w/jus how unfair the new reforms are to the workers, but before closing I will say this (as does my attorney of record)…all injured workers should contact their State Reps & voice their concerns about the reforms. Include them in on the IMR process as I have done. This way they’ll experience first hand just how medically (& legally) unethical this whole messed system has become….& most folks think what both Schwarzneggar & Brown did was fantastic….tphhffttt!! It may have reduced much of the fraud, but in doing so, the legitimate cases are being treated as if they too are also fraudulent, & w/the “independent” process, I think it’s safe to say these panels that the insurance Co hire to hear these cases are in the pockets of the insurance Co’s…not to mention the politicians who were behind these reforms a few yrs ago when they were being pushed through. What a complete joke this entire workers comp system/process has become. Like another person here stated, the injured worker is being punished for their injury….nothing more, nothing less….& my case was settled for lifetime medical over 20 yrs ago..one would think a decision as such made in a workers comp court of law would be held up for life, as was the agreement between myself & the insurance Co…not!!! To all injured workers…..PLEASE CONTACT YOUR STATE REPS TO INFORM THEM THAT YOU BELIEVE THESE REFORMS DO NOT PROTECT YOU BUT RATHER THE INSURANCE CO’S. That’s pretty much the injured workers only hope for better representation going forward.
But did you know, according to the California department of insurance 2011 has a workers comp loss ratio of only 60.38%, only 5 other years in the last 20 years of data were lower than 2011, the average in the last 10 years is 66%, the worst years in the last 20 were 1999 & 2000 (104% & 108%). So…if any of this makes any sense, it is that the expense ratio is too high and that is a carrier problem not a loss ratio problem. It may just be that carriers investments are down & payrolls are down and THAT is the real issue for insurance carriers – welcome to our economy! But raising rates 30%-400% over 18-24 months is not the way to do it carriers. I happy to say that most of our clients are only seeing 2%-5% rate increases, but we get plenty of last minute calls from those that trusted their agents and are winding up with the 30%-400% increases.
Andrea Luoni
RateCraft
What will be the effects of SB863 on the pstients ?
Just got the renewal information for my workman’s comp for my residential cleaning company the other day. I employ 8 people and my rates will increase from 20.22% to over 35% per every 100 of payroll when my policy renews in April!! That will equate to an extra $14 in premiums for every $100 of payroll for my small business. To top that all off, I have had 1 (one!!!!) loss in 27 years of business! The system is broken people. I am going to have to ask all of my clients to raise their rates in order to just stay afloat. Who wins?!?!
who wins the illegals that have flooded this country since obama took over and dont pay workers comp . people need to wake up and it starts at the top …REAL CHANGE NOW
!!!
I am an also in the residential housecleaning business. Also had only one small claim (about 1,000.) in the past 8 yrs and just got my rates increased. The long and short is our legislators are responsible for allowing this to happen. Other states have legislators smart enough to have a system that works. Our legislators are ordered by the unions and attorneys to pass legislation that harms small business. If other states can figure it out why are our legislators so dumb that they can not pass laws to create a system that works like other states.
John Lyons
Being in insurance and having a WC injury, I can honestly say that if I’m not treated anywhere close to good, I’ll be the one setting precedent. And I’m not the only one. I was just reading these new 2013 WC laws and they seem to punish workers for no fault of their own. WC in Calif is NO Faulr,,, Period, And some of the larger corporations will use it to get rid of injured workers.
I agree. I sustained a horrible injury in 2005. This new law bypasses my own PTP and pain management doctor. I had to sign an appeal giving up my right to appeal any decision made by some “doctor” that has absolutely no direct contact with me. Psycholoicly it’s torture. Oh, I forgot to mention the SCIF attornies that called me every year after my settlement asking if I wanted to change and “take control” of my future medical decisions” (and costs)…or else. This was absolutely extortion. Now I feel like a bird, sitting on a fence, waiting to be shot.
If anyone knows of suits or attornies willing to help, I’d like to know.
Thank you.
the CA workers comp reforms was nothing more than throwing the baby (injured worker in this case) out w/the bath water. I settled for lifetime medical back in the early 90’s & thought I wouldn’t have to worry going forward for medical care w/re to my work related back injury. I didn’t want the money the insurance company was offering at the time as it was nothing short of an insult. Having said this, w/the new reforms (which those who have no clue believe are wonderful) apparently the insurance Co can now on an annual basis deny my claim via rubber stamp denial by some Dr. who never met me & practices in another State (Texas in my case). This “Dr.” has not once made an attempt to contact me by phone & I highly doubt he’s even seen any of my mri’s. That said, now I find that I must go through this new IMR (Independent Medical Review) which replaces the QME (Qualified Medical Eval) that I was forced to go through ea yr pretty much since 2009. Each QME ruled in my favor & thankfully my care continued after being awarded judgment via QME. Now w/the new IMR, I’m not so sure just how “independent” this process truly is. Some outfit that goes by the name of “Maximus” has been contracted out by the Insurance Co is going to be the one who hears my appeal…an appeal for which under these new reforms I am not allowed to show up to represent myself….the injured worker isn’t even allowed to have an attorney present to represent them. Indeed, the new reforms have all but eliminated employee representation via attorney. now don’t get me wrong here, I’m all for limiting all the attorney’s seem to have their hands in these days, however, to not be able to have ANY official representation whatsoever during the IMR to me is nothing more than a sham. My attorney of record (the one who settled my case in the early 90’s (yes, he’s still practicing) tells me that I have approx. 15-20% chance at best of winning the IMR…at least this is what they are seeing w/this new appeals process. I could go on here w/jus how unfair the new reforms are to the workers, but before closing I will say this (as does my attorney of record)…all injured workers should contact their State Reps & voice their concerns about the reforms. Include them in on the IMR process as I have done. This way they’ll experience first hand just how medically (& legally) unethical this whole messed system has become….& most folks think what both Schwarzneggar & Brown did was fantastic….tphhffttt!! It may have reduced much of the fraud, but in doing so, the legitimate cases are being treated as if they too are also fraudulent, & w/the “independent” process, I think it’s safe to say these panels that the insurance Co hire to hear these cases are in the pockets of the insurance Co’s…not to mention the politicians who were behind these reforms a few yrs ago when they were being pushed through. What a complete joke this entire workers comp system/process has become. Like another person here stated, the injured worker is being punished for their injury….nothing more, nothing less….& my case was settled for lifetime medical over 20 yrs ago..one would think a decision as such made in a workers comp court of law would be held up for life, as was the agreement between myself & the insurance Co…not!!! To all injured workers…..PLEASE CONTACT YOUR STATE REPS TO INFORM THEM THAT YOU BELIEVE THESE REFORMS DO NOT PROTECT YOU BUT RATHER THE INSURANCE CO’S. That’s pretty much the injured workers only hope for better representation going forward.
Good luck to all w/this sham of a system.