CHSWC Recommends Experience-Rating More Small Businesses as Safety Incentive

As the rate of lost-time claims rises in California and falls across the rest of the U.S., the Commission on Health and Safety and Workers’ Compensation has a suggestion it hopes will drive down frequency. In its 2014 Annual Report, the commission recommends the insurance commissioner lower the threshold for employers to become eligible for experience rating, which would give X-mods to more small businesses. The recommendation comes from a RAND study CHSWC commissioned in 2012 that showed a reduction in workers’ compensation losses of 6% to 9% among businesses that became experien...