Garamendi Approves 7.2% Rate on 5 Year Trend

On Friday, California's Insurance Commissioner, John Garamendi, issued a decision on the WCIRB's July 1, 2003 pure premium rate filing that was submitted on April 2, 2003. The Insurance Commissioner approved a 7.2% increase in pure premium rates applicable to new and renewal policies with anniversary rating dates on or after July 1, 2003. The WCIRB's filing proposed a 10.6% increase. As in the decision on the January 1, 2003 pure premium rate filing, the Commissioner predicated the approved pure premium rates on a loss development methodology that relied upon a five-year trend period rather t...