PA Workers' Compensation Rates To Drop Again
The Pennsylvania State Insurance Department says a workers' compensation insurance rate reduction will go into effect next week, saving employers millions of dollars.
The department said the overall 4 percent decrease, which takes effect Monday, could mean as much as $110 million in savings for Pennsylvania employers.
The 4 percent estimate may vary according to a company's claims experience, payroll and other factors, and not all employers will see a decrease.
Insurance Department Spokeswoman Rosanne Placey says there is a positive trend happening in Pennsylvania.
“Another thing to note is that this is the second year in a row that employers have seen a rate decrease," she said. "Last year the rate decrease was about 5 percent.”
Placey described the decrease as "a hopeful sign for the business community."
"As you know, we’re all feeling a bit of a financial pinch these days, and everybody is looking at how to do more with less," she said. "So this is a significant savings for Pennsylvania businesses."
Workers' compensation insurance provides for the cost of medical care and rehabilitation for injured workers, and lost wages and death benefits for the dependents of those who are killed in work-related accidents.