Comp insurers secure decreased rates in 36 states in Q1: S&PPosted On: May. 24, 2023 11:10 AM CST
An analysis by S&P Global Market Intelligence shows that 36 states saw reduced workers compensation insurance rates in the first quarter of the year.
The most significant rate reduction was the 79 rate cuts across nine states representing an aggregate calculated premium change of $22.3 million.
AmTrust Financial Services Inc. came in second for largest rate reduction after it received approval for 39 rate decreases in the first quarter for a premium change of $20.3 million, according to the analysis, which was released Tuesday.
Missouri Employers Mutual Insurance Co. was singled out for having the largest single rate decrease, a 5% cut that went into effect on Jan. 1 and is expected to lower comp insurance premiums by $9.7 million for about 13,500 new and renewal business policyholders.
According to the analysis, Georgia and South Carolina approved of hundreds of rate cuts in the first quarter, with Georgia regulators approving 206 rate decreases and neighboring South Carolina allowing 314 rate reductions to go into effect.
The analysis also showed that there were fewer rate increases nationwide than during the prior quarter, with the most significant rate hike in California, where SiriusPoint Ltd. increased comp insurance rates 8.3% beginning Feb. 24 for new and renewal business.