Frictional Costs on Decline but Still Higher Than Other States and Benefit Systems

Frictional costs in California’s workers’ compensation system are declining but remain the highest of any other comp system in the country and much higher than other benefit systems, according to an initial analysis from the Workers’ Compensation Insurance Rating Bureau. It costs about 48 cents to deliver $1 of benefits in California’s comp system, according to the preliminary data included in an agenda for an upcoming meeting of the WCIRB’s Actuarial Committee. That compares to about 25 cents to deliver $1 of work comp benefits in the median state. Pr...