Florida Approves 8.4% Rate Decrease

The Florida Office of Insurance Regulation approved the National Council on Compensation Insurance’s (NCCI) proposed rate decrease of 8.4%. This is the seventh consecutive year of decreases and is due to favorable claims experiences, declining frequency and consistent average claims costs. They warned that ongoing inflation could have a negative impact on rates in the future, however, NCCI notes that the rate reduction was not influenced by the pandemic as its analysis did not include COVID-19 claims data. Nevertheless, NCCI’s assessment of possible pandemic-related impacts revealed that:

•    most COVID-19 claims are medical-only or indemnity-only and continue to be small (less than $1,500);
•    large claims (over $100,000) account for fewer than 2% of all COVID-19 claims, but more than 60% of total COVID-19 losses;
•    most claimants were employed in the health care industry;
•    the average age of workers with large claims is 55, which is 8-10 years older than those with non-COVID claims; and
•    COVID-19 claims decreased significantly in 2021.
 

_{What’s Hot in Workers’ Comp, Vol. 27, No. 2, February 2023 is prepared by Marshall Dennehey to provide information on recent legal developments of interest to our readers. This publication is not intended to provide legal advice for a specific situation or to create an attorney-client relationship. We would be pleased to provide such legal assistance as you require on these and other subjects when called upon. ATTORNEY ADVERTISING pursuant to New York RPC 7.1 Copyright © 2023 Marshall Dennehey Warner Coleman & Goggin, all rights reserved. No part of this publication may be reprinted without the express written permission of our firm. For reprints or inquiries, or if you wish to be removed from this mailing list, contact tamontemuro@mdwcg.com.}