Workers' compensation premiums increase 7.6%

The Department of Labor and Industries has increased state workers' compensation premiums for 2010 an average of 7.6%, the largest increase since 2004. Preliminary rate increase speculation from the Department earlier this summer hinted towards a possible 15-20% rate increase. State law requires employers to carry industrial insurance and only a small portion of the state’s thousands of employers are allowed to self-insure. All others are required to use the state’s system. Currently the state program covers over 2.5 million workers and over 170,000 employers and collects over $1.6 billion in annual premiums. The dollar figure associated with the increase is approximately $117 million to both businesses and employees (since employees also pay into the system) . . . READ MORE