CDI Holds Hearing on Rate Recommendation

The California Department of Insurance held a public hearing on a recommendation to cut the advisory pure premium rate, by 4.5%. The Workers’ Compensation Insurance Rating Bureau in August recommended that the insurance commissioner adopt an advisory rate of $1.70 per $100 of payroll. The recommended rate is 4.5% lower than the current rate of $1.78, and 20% lower than the average filed rate of $2.23 as of July 1. Faster claim settlements, fewer liens and a drop in pharmaceutical costs helped drive down the indicated rate. If approved, the 2019 rate would mark the eight consecutive de...