Pennsylvania acting Insurance Commissioner Michael Humphreys on Friday approved a 6.25% reduction in workers compensation loss costs.
Loss costs are a component in determining workers comp rates, and the reduction should lead to lower premiums for many Pennsylvania businesses, Mr. Humphreys said in a statement.
“This year's loss cost decrease will help to further Pennsylvania businesses' recovery in the wake of the COVID-19 pandemic, allowing for more spending on other priorities,” he said.
Premium savings for an individual employer will vary based on its risk classification, claims experience and other factors. Mr. Humphreys said that not all employers will see a decrease in premiums.
This is the state's sixth consecutive loss cost reduction.
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