Strong Workers' Comp Profits Continue Despite Pricing Cuts

The chance of a recession, the impact of tariffs, immigration policy changes and other challenges, including legislative changes, are “possible headwinds” for the workers' compensation industry, A.M. Best said Tuesday. Workers' compensation remains a “key driver” of the profitability for property and casualty insurers, analysts for the credit rating agency said in a market segment report. They noted that the line remained profitable in 2024, with a combined ratio of 88.8%, the lowest among the major property and casualty lines, even as net premiums written for ...