The New Hampshire Insurance Department has approved a workers’ compensation voluntary loss cost decrease of 0.9 percent on average along with a reduction in assigned risk rates of 0.6 percent. The new figures go into effect Jan. 1, 2007.
The decision mirrors the request made by the industry’s National Council on Compensation Insurance in a September filing. All companies writing workers’ compensation coverage in the state are required to adopt NCCI’s advisory loss costs.
According to Insurance Commissioner Roger Sevigny, there are two elements of the NCCI filing that will possibly require additional filing activity on the part of insurers.
The first is that the residual market loss cost multiplier for 2007 will be 1.614. Insurers can use broad based loss cost multipliers greater than the loss cost multiplier approved for the residual market but must file and obtain approval to do so.
Also, the maximum minimum premium has been changed from $850 to $900 under the assigned risk plan. Before changing to a higher maximum minimum premium, insurers will have to submit a filing reflecting desired changes to their Miscellaneous Values Page.
Sevigny ordered that any filings received during January 2007 pertaining to either of these items may be retroactively applied to reflect an effective date of Jan. 1, 2007.
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