Poor-Servicing Record Costs Mass. Insurer

Massachusetts' largest workers' compensation insurer has failed to persuade an appeals court that its book of business in an assigned risk pool was worse than what other carriers were assigned. Eastern Insurance Co. argued unfair treatment as it tried to have a poor-performance penalty dating back to 1994 overturned. The Workers' Compensation Rating and Inspection Bureau levied a penalty against Eastern because of a "poor" paid-loss ratio Eastern earned while servicing employers in 1994 and 1995. The bureau assigned employers from a reinsurance pool comprised of risks that could not fi...