Delaware Workers Comp Rates 2020

Delaware Workers Compensation Insurance Rates in 2020

On Tuesday, October 8, 2019, the Delaware Department of Insurance announced a workers compensation pure premium decrease for 2020. The decreases are an average -12.75% for the residual market and an average of -13.29% for the voluntary market. The rates are in effect as of December 1st, 2019 and represent the third consecutive year of continuing declines.

Newark, Delaware, Town, Street

The Insurance Commissioner, Trinidad Navarro said, “I am delighted to approve a decrease in workers’ compensation rates in Delaware for the third year in a row. These continued decreases mean significant savings for Delaware businesses both large and small and continues to be an incentive for smaller businesses to relocate to Delaware and employ more Delawareans.”

Bridge, Philadelphia, Night

Navarro went on to say, “The continued hard work of everyone involved in this process especially over the last few years continues to ensure that the process is transparent and efficient. I am also pleased that this is the first year that all actuaries reviewing this filing agreed, not only that another significant drop in workers’ compensation rates was warranted, but that the filing as submitted to the department needed no changes. Lastly, I want to again acknowledge the Department’s Workplace Safety Program and its dedicated staff for their work in helping Delaware businesses save up to 19 percent on premiums for providing a safe working environment.”

Now it is very important to keep in mind that these decreases are averages. Not all businesses will see this much of a decline. SOme businesses may see no decline at all. Other businesses may see a larger decline in workers compensation premium.  The declines will vary depending on the class code of the business looking to be insured, the location the business operates, the claims history of that business, and the annual revenue.

The state of Delaware has created a workplace safety program designed to lower the frequency and severity of workplace injuries. Businesses owners are encouraged to visit its webpage at www.insurance.delaware.gov/workplacesafety, or call our office directly at (302) 674-7377.

Delaware, Flag, State, America, Us, Usa

When you are ready to purchase or renew all lines of commercial insurance, the experts at Workers Compensation Shop look forward to helping you see how much your business can save on Workers Comp Insurance.  Click here to start a quote or call 888-611-7467 to speak with one of our agents about how they can help you maximize savings for your business.

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Third year of declines for Washington Workers Comp Rates

Washington Workers Compensation Rates in 2020 will be decreasing modestly by a rate of 0.8%

On November 25th, the Washington Department of Labor & Industries (L&I) announced the business community will experience a moderate decline of 0.8% in 2020. This is the third consecutive year Washington Workers Compensation Insurance Rates have fallen. This rate cut is in addition to cuts of 5% in 2019 and 2.5% in 2018. These declines, while modest, represented a positive trend for the business community throughout the state of Washington. As of 2018, Washington was the 16th most expensive state in the country for businesses to purchase workers comp coverage. Any movement towards a more affordable workers compensation system is good news.

Seattle, Washington

Washington Workers Compensation Rates in 2020 will pay an average of $15 less per employee for a year of workers’ comp premium. With this reduction, employers will pay $21 million less in premiums next year. These continuing declines are a result of long-term declines in costs for the overall workers compensation system. Over the past six years, costs have fallen $2.9 billion throughoutthe Washington Workers Compensation System.

Mountain, Rainier, Mount, Washington

According to L&I Director Joel Sacks, “Our workers’ compensation system is in good shape. Every year we help tens of thousands of people recover from on-the-job injuries and go back to work. Our programs to help injured workers are making a real difference, and workplace injury rates in Washington are declining. That’s great for workers and their families and is helping us keep costs down.”

Mountain, Olympic National Park, Washington

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Idaho Workers Compensation Insurance Rates are declining in 2020

Idaho Businesses should expect to pay 6.2% less for Workers Comp in 2020

In October of 2019, the Idaho Deparment of Insurance announced a 6.2 percent overall rate change to Idaho workers’ compensation insurance pure premium rates. These workers comp rates will go in to effect as of January 1, 2020. This proposed rate change was implemented after a recommendation by the National Council on Compensation Insurance (NCCI).

Boise, Idaho, Panorama, City, Winter

The Director of the Idaho Department of Insurance, Dean Cameron said, “We are pleased to announce this reduction, a move which will benefit Idaho businesses, their employees and the economy in general. The decrease in the 2020 workers’ compensation rates reflects continued improvement in our state rating factors, including a slight decline in both the frequency of claims, and the average cost of those claims.”

Barn, Old, Abandoned, Idaho, Landscape

Idaho Workers Comp Rates 2020 are declining and this is great news for the business community throughout the state. Frugal business owners should look for additional ways to save more when purchasing workers compensation and all other forms of commercial insurance.

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Workers Compensation Shop is an independent insurance agency founded in 2005. The goal of Workers Compensation Shop has always been to find out of the box solutions to small businesses of all types in all 50 states. Over the past decade and a half, the agents at Workers Compensation Shop have developed relationships with a few dozen insurance carriers. This vast network of carriers give the agents at Workers Compensation Shop the ability to shop your policy around and make the carriers compete for your business. If you are looking for a better value when renewing your commercial insurance package, let us shop insurance so you don’t have to. Give us a call today at 888-611-7467.

 

 

 

 

 

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Oregon Workers Compensation Rates are Declining in 2020

On average, Oregon Workers Compensation Rates 2020 will be less than the previous year by an amount of 8.4 percent. This is in addition to a 9.7 percent for Oregon Workers Compensation Rates in 2019. These declines contribute to an overall 7 consecutive year decline totaling 45 percent from 2013 to 2020. Employers, on average, will pay $1.02 per $100 of payroll for workers’ compensation insurance, down from $1.11 in 2019.

Portland, Oregon, Old Town

According to Cameron Smith, Director of The Department of Consumer and Business Services (DCBS), Oregon’s largest business regulatory and consumer protection agency, “The steady decline in workers’ compensation costs is about more than just the numbers. It demonstrates the hard work of employers, workers, insurers, and government to maintain essential worker protection programs and robust benefits for injured workers while keeping business costs low.” The average decrease in the pure premium reflects a long-term trend of lower medical care costs and less severe claims.

Oregon, Mountain, Lake, Landscape, Scenic, Outdoors, Peaceful

According to The 2018 Oregon Workers’ Compensation Premium Rate Ranking Summary Oregon was ranked 46 out of 50 states when it comes to pure premium ranking. Even though businesses enjoy fairly inexpensive workers comp rates, it is important for business to maximize savings in every way possible. Here are 5 ways to expand upon the savings when purchasing workers compensation insurance.

  • Partner with an Independent Insurance Agent
  • Shop Around your Policy
  • Consider Pay as You Go
  • Bundle All Policies
  • Implement Safety Programs
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Workers Compensation Rates in Florida are declining in 2020

7.5% Decrease Marks The Third Consecutive Decline in Florida

Florida Workers Compensation Rates in 2020 are declining by an average of 7.5 percent. This comes after the National Council on Compensation Insurance (NCCI) recommended in September a modest decline of 5.4 percent. This is the third consecutive year with a cut in annual workers compensation rates. According to officials with the NCCI, the declining rates are attributed to technology, safer workplaces, improved risk management and a long-term shift from manufacturing to service sectors.

Florida Vacation, person sitting on the beach relaxing under an umbrella.

Volatility in the Florida Workers Compensation System 

Over the course of the past five years, the workers compensation system in the state of Florida has gone through some substantial ebbs and flows. In 2017, rates increased by an average of 14.5 percent. This increase was in response to three key issues, two court cases Castellanos vs. Next Door Company and Westphal v. City of St. Petersburg along with Senate Bill 1402.

Castellanos vs. Next Door Company

This case was between a Florida man named Marvin Castellanos and Next Door Company. Castellanos was an employee who sued Next Door Company of negligence. As part of these proceedings, the Florida Supreme Court overruled a previous court ruling from 2009. The previous ruling was overturned because it limited the ability of the claimant to get a reasonable amount for attorney’s fees. The previous ruling limited the amount a judge could award for attorneys fees in workers compensation lawsuits. As a result, most of the money being awarded in workers compensation cases were going to lawyers to cover their fees instead of going to the inured employees.  With this ruling in place judges merely had to use the previous fee schedule as a recommendation, but depending on the situations surrounding each case they could award more or less for attorney’s fees.  Because of this ruling insurance companies anticipate pay outs of much larger amounts for workers compensation lawsuits in the future. This court cases accounted for 10.1 percent of the average statewide increase.

Westphal v. City of St. Petersburg

Westphal vs. City of St. Petersburg was a case dealing with the 104-week statutory limitation on temporary total disability benefits. As a result of this case, the 104-week statutory time period was ruled unconstitutional. In its ruling the Florida Supreme Court stated the previous time period denied injured workers the ability to obtain proper right of access to the courts. The ruling extended this time period to 260 weeks.  Because injured employees will now be receiving partial salary benefits for an additional 156 weeks insurance companies were taking on additional risk to offer workers comp coverage. This court case accounted for 2.2 percent of the entire increase in 2017.

Senate Bill 1402

The final issue that caused workers comp rates to rise in 2017 was Senate Bill 1402. This was related to updates within the Florida Workers’ Compensation HCPR Manual. This bill accounted for the final 1.8 percent increase on premium for workers’ compensation in 2017.

Everglades National Park, Florida

Guarantee Insurance Company Closes

In late 2017, Guarantee Insurance Company (The states assigned risk workers comp provider) was declared insolvent by Florida Regulators. According to the Florida Office of Insurance Regulation (OIR), Guarantee was materially under-reserved at year end 2016 and consented to being placed in receivership on Nov 13, 2017. This means they did not have the ability to cover predicted claims moving forward. Guarantee Insurance Company was the largest workers comp provider in the state of Florida. Because of this failure, more then a thousand businesses were forced to find a new carrier for this required coverage. Luckily, insurance carriers significantly raise prices in 2017 as a response to the previous issues. In 2018, the OIR recommended average decreases of 9.6 percent.

Continued declines in 2019

After the issues from the previous years had somewhat settled, OIR announced continued declines of 13.9 percent on Florida Workers Comp Rates in 2019. The declines in 2019 are accredited to significant improvements in experienced losses by insurance carriers. These improvements come as a result of safer workplaces, enhanced efficiencies in the workplace, and an increase in the use of technologies for the decrease in costs throughout the workers compensation system.

St Augustine Florida, Landscape

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Wisconsin Workers Compensation Rates to Fall by 8.8% in 2020

New Wisconsin Workers Compensation Rates 2020 approved by Commissioner of Insurance and are effective Oct. 1st, 2019

In 2020, the Wisconsin Business Community will be enjoying lower rates for Workers Compensation Insurance Premiums. Announced in July of 2019, Wisconsin’s Chief Insurance Regulator has approved an overall 8.84% decrease in workers’ compensation premium rates. These rates are effective Oct. 1, 2019, and are expected to save Wisconsin businesses more than $170 million in 2020.

Wisconsin, Farm, Rural, Barn, House

Declining Wisconsin Workers Compensation Rates in 2020 mark the fourth consecutive year rates have fallen. Overall, the Workers Compensation Rates have decreased by 6.03 percent in 2018, 8.46 percent in 2017, and 3.19 percent in 2016. One main reason the Workers Compensation System is able to pass on savings to the business community is that employers reported a total of 82,400 injuries and illnesses in 2017. This is roughly 300 less than 2016 and means the insurance carriers had to pay out less for claims for injured workers. Additionally, the duration of temporary disability in Wisconsin is about two weeks shorter than the national average. This means Wisconsin workers are able to get back to work faster after an injury occurs. The final reason for savings is that Wisconsin has an older workforce. According to Chris Reader, director of health and human resources policy at Wisconsin Manufacturers & Commerce, “Somebody who is 55, generally speaking, is simply safer on the job than someone who is 25.”

Milwaukee, Wisconsin, Public Market

There are four industry sectors that make up a majority of the workforce in the state. All four are going to see significant declines for workers comp premium. Those industries include:  Contracting at 11.21%, Office and Clerical at 8.75%, Goods and Services at 8.66%, and Manufacturing and Miscellaneous at 8.11%. Of the 525 entire workers’ compensation class codes included in the 2019 rate filing, 93 percent will see a rate decrease.

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Carriers: Travelers Insurance

Workers Compensation Shop has been partnering with Travelers since its inception in 2005. Travelers Insurance is a carrier that has been operating in the insurance industry for 160 years. Over this long storied history, Travelers has earned a reputation as one of the best property casualty insurers.  Travelers Insurance employs approximately 30,000 people and partners with more than 13,500 independent agents and brokers in the United States, Canada, the United Kingdom, Ireland and Brazil.

Image result for travelers insurance

Travelers Companies Inc. is the second largest writer of Property and Casualty Insurance in the United States and the 3rd largest writer of personal insurance through independent insurance agents in the United States. Currently Travelers has a broad appetite for hundreds of classifications of business types all throughout the United States. Additionally, Travelers offers a wide range of pricing options depending on your loss runs and class codes of the business they are offering. In addition to the wide range of pricing options, Travelers Insurance offers flexible billing options. Travelers offers a direct bill program which requires 25% down for new policies. This traditional type of policy requires addtional 3 or 9 installments. On renewal policies, Travelers offers businesses the option of 12 equal installments. Additionally, they offer Pay As You Go self reporting via TravPay.

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Travelers Insurance Awards and Recognitions

  • The company has been a part of the Fortune 500 since 1995.
  • World’s Most Admired Company, Fortune, 2006-2018
  • Barron’s 500, Barron’s, 2008-2017
  • America’s Most JUST Companies list, JUST Capital and Forbes, 2019
  • Largest U.S. Workers Compensation and Commercial Auto Carrier, NAIC, 2014-2017
  • Best for Vets, Military Times, 2010-2011, 2014-2018
  • Military Friendly® Employer, VIQTORY, 2007-2019
  • America’s Best Employers, Forbes, 2015-2018
  • Best Place to Work for LGBTQ Equality, Human Rights Campaign Foundation, 2016-2019

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New Jersey Workers Compensation Rates 2020

Work Comp Benefits are going up in 2020 for the New Jersey Business Community

In 2019, the New Jersey Senate approved an adjustment to the supplemental benefits for certain injured workers receiving workers’ compensation. These means insurance carriers who offer coverage to businesses within the state of New Jersey will have to pay out more for benefits within the system. This could raise the costs to provide coverage and may cause the business community to see higher rates for premium when buying coverage in the future. The New Jersey Department of Banking and Insurance requested a 3.8% decrease in overall premium effective January 1, 2020.

Jersey City, New Jersey, America, Urban, Waterfront

The revisions to the recommended workers’ compensation rates are proposed at this moment. The recommendations are based upon recent experience claims throughout the state and an annual review of classification relativity. If these New Jersey Workers Compensation Rates 2020 are approved, it will mark the fourth consecutive year rates have decreased and the fifth consecutive year without any increases.

The Amount paid out for Temporary Disability and Total Disability has nearly doubled since 1997 ($496 max /$132 min in ’97 and $945 max/$252 min in 2020). The amount for Total Permanent Disability (70% of wages) is now at a maximum rate of $945.00 and a minimum rate of $35.00 per week. The amount paid for Temporary Disability (70% of wages) is now set at a maximum rate of $945.00 per week and a minimum rate of $252.00 per week. The maximum duration a person can be on temporary disability is currently at 400 weeks. Death benefits are again at 70% of wages with a maximum rate of $945.00 and a 450 weeks plus the spouse’s statutory benefits. An allowance for funeral is now capped at $3,500.00.

Atlantic City, New Jersey, America

5 Ways Business Owners Can Save on Workers Comp

Bundle all Policies

When purchasing commercial insurance for your Small Business, it is important to package all of the policies together with one carrier. Carriers are more likely to dig deep for additional credits and discounts when they know they are getting the business of multiple policies. Talk to your agent about bundling all policies together as a way to save of business insurance.

Shop Around

In addition to bundling all policies together, it is important to periodically shop around your policy. If for no other reason, shopping around makes sure your carrier is competitive with the market. While it is not wise to switch carriers each year based upon a slight drop in premium, but it is important to look around to make sure you are getting a competitive rate on premium.

Partner with an Independent Agent

One of the easiest ways to shop around your policies, is to partner with an independent insurance agent. An independent agent partners with multiple carriers and they can force them to compete for your business. This will not only save you time, but will get your business better coverage at a lower rate.

Implement a Safety Program

A Safety Program is a great way to prevent claims from happening and to keep the claims that do happen from being severe. While a safety program is being implemented, you should include employees at all levels of the business during the design phase of the safety program. Once the safety program is implemented, all meetings should be documented. This documentation can help when you are purchasing insurance and when an insurance claim occurs.

Ask for Discounts and Credits

If you value taking advantage of all available ways to save on insurance coverage, tell your insurance agent this is what you value. Insurance agents interact with many people from many different walks of life. These people they interact with have many different priorities when it comes to purchasing insurance. If you value savings above all else, tell your insurance agent.

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California Workers Compensation Rates 2020

In August of 2019,  the Workers’ Compensation Insurance Rating Bureau (WCIRB) voted to lower Workers Comp Pure Prmium Rates by an average of 5.7 percent below the pure premium rates of January, 2019. California Workers Compensation Insurance Rates in 2019 were down 23.5 percent compared to what businesses paid in 2018 for California Workers Comp Coverage. This marks a continuance of five years of continued declines for workers comp rates and the ninth consecutive biannual pure premium workers compensation insurance rate decrease dating back to 2015. These decreases mark a total decline of approximately 44 percent.

Hollywood Sign, Los Angeles, California

There are a number of reasons for the declining Workers Compensation Insurance Premiums in California. The reasons for these declines include: continued downward loss development, acceleration in claim settlements, sharply declining pharmaceutical costs and a further decline in the number of liens being filed. In addition to these reasons for the delicnes, the WCIRB also noted that factors such as increases in cumulative trauma claims, rising claim severities and continued high levels of allocated loss adjustment expenses are moderating the pure premium rate declines. Because these issues are limiting the decreases in pure premium rates, the WCIRB thinks these issues warrant continued monitoring.

Golden Gate Bridge, San Francisco, California

California Workers Compensation Rates 2020 are improving for the 5th straight year. This is extremely good news, but the business community in California still suffers from the highest pure premium rates of any state in the country. Because of these high rates, it is important to take advantage of all cost saving measures that are open to a business. Workers Compensation Shop has a network of several dozen carriers that are actively looking to offer coverage to businesses of all types in California. Let one of our experienced Insurance agents help you find the best package of insurance policies for you and your business by clicking here or by calling 1-888-611-7467.

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Amazon Delivery Services Partner Program

The Amazon Delivery Services Partner Program is a new program designed by Amazon to allow drivers to start their own business through this new program. Over the past few years, Amazon has had a problem with the vast amount of orders needing to be delivered. The United States Postal Service (USPS), UPS, and FedEx simply are not able to keep up with the demand for delivery services that customers of Amazon have come to expect. Because of this demand, Amazon is developing a fleet of delivery service businesses to deliver their packages for Amazon exclusively. Because of the strict requirements put in place to become an Amazon Delivery Services Partner several insurance carriers are eager to offer insurance coverage to these businesses.

History of the Amazon relationship with Fed Ex and UPS

Since its inception, Amazon has used Fed Ex, UPS, and the United States Postal Service (USPS) for delivery purposes. In June Fed Ex Announced it is not renewing the relationship it has with Amazon Express Shipping. The Relationship between Amazon and Fed Ex actually started to sour around three years previously. This was when Amazon demanded better discounts from both Fed Ex and UPS.

UPS responded with the discounts, but Fed Ex did not agree. At this point more than half the business Fed Ex generated from Amazon went to UPS. Because of this soured relationship and Amazons demands for special pricing, Fed Ex has determined Amazon is their least profitable delivery partner. Because of this fact, Fed Ex is changing the partnership with Amazon moving forward.

Since this announcement, Fed Ex and UPS have decided to take dramatically different paths towards their relationships with Amazon. The contract Fed Ex is stepping back from is U.S. Express Contract with Amazon. This contract expired on June 30.  Fed Ex is planning to instead focus on the broader e-commerce market. A large portion of the packages that will not be delivered by Fed Ex are more than likely going to be delivered by UPS, especially if those packages are not part of the express delivery. In the future, Amazon wants to have a majority of these packages delivered by Amazon Delivery Services Partners.

Even as Amazon develops relationships with their own delivery service partners, the company will continue to have to use the USPS, UPS, and FedEx a lot for the delivery of their packages; but even using all three of these delivery businesses Amazon is having a hard time servicing all of their orders. As the business continues to grow, delivering all of their packages is simply not possible. This is where Amazon is counting on the Amazon Delivery Services Partner Program to come through in a big way.

By allowing drivers to start their own small business, Amazon is creating a new niche industry for these logistics companies. The program has strict guidelines the businesses must follow in order to be a part of the program. The guidelines include training, technology, on demand technological support, driver assistance for on road issues, a dedicated account manager, and more than 20 years of logistical experience.In addition, Amazon also provides access to exclusive deals on Amazon Branded Vans that come with programs designed to help businesses with vehicle maintenance, Industrial-grade handheld devices, accounting services, and even legal support.

 

Minivan, Automobile, Transportation, Auto, Vehicle

Insurance for an Amazon Delivery Services Partner

Insurance for Amazon Delivery Service Partners can be expensive. When a startup is getting their business off the ground, coming up with additional cash to get insurance coverage in place can be difficult. Most carriers we partner with offer multiple payment options to help you get coverage in place on your terms. In most states General Liability and Workers Compensation are required by law, but these two policies are the bare bones minimum amount of insurance a business should carry. Here are the four policies all Amazon Delivery Services Partner Businesses should consider securing.

  • General Liability
  • Workers Compensation
  • Commercial Auto
  • Hired & Non-Owned Auto Liability Coverage
  • Umbrella Policy

General Liability for Amazon Delivery Services Partner

General liability insurance is arguably the most important policy a business can purchase to protect the business from the liability it faces to outside third parties. In most states it is required by law in order to be open for business. A general liability policy protects the business from property damage and bodily injury to 3rd parties. Most policies with most carriers will cover both public and product liability.

Workers Compensation

Workers Compensation is governed by the state governments. This coverage is required by law for most businesses in most states. Even if it is not legally required in any particular state, it is more than likely beneficial for a business to carry this coverage. The policy covers injured employees with some lost wages and medical costs when they are hurt on the job. The business gains the peace of mind that they cannot be sued to accidents that occur as a part of normal business operations.

Commercial Auto

Commercial Auto is a key piece of the package of products an Amazon Delivery Services Partner Business needs to adequately protect the business. The policy provides protection against physical damage and injury resulting from car accidents. Depending upon the specifics of each policy, most commercial auto insurance policies should provide some protection from theft and vandalism.

Hired & Non-Owned Auto Liability Coverage

A Hired and Non-Owned Auto Insurance Policy is an addition to a Commercial Auto Insurance Policy that is designed for when a businesses employees drive leased or rented vehicles. It also can apply when an employee is using their personal vehicle for business purposes. When a business has a vehicle or a number of vehicles out for servicing, there might be a time when the business will need to rent a vehicle for a period of time until the vehicle is operational again. 

 

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