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Commissioner Approves Regulatory Filing

  • State: California
  • Topic: WEST
  • - Popular with: Legal

California Insurance Commissioner Dave Jones approved the Workers’ Compensation Insurance Rating Bureau’s 2018 regulatory filing that increases eligibility requirements for experience rating and tweaks dual wage thresholds for 17 construction industry codes.

Commissioner Dave Jones

Commissioner Dave Jones

The regulatory change approved Tuesday increases the minimum threshold for employers to be eligible for experience rating, to $10,300 from $10,100, to reflect wage inflation and proposed 2018 expected loss rates, the WCIRB said.

At the same time, the regulatory filing increases the dual wage threshold by $1 or $2 for 17 construction industry codes. Employers in industries that qualify for dual wage classification can receive discounts on their comp premiums if they pay workers an hourly rate in excess of the threshold.

The theory for the discount is that workers receiving higher wages have more skills and experience, and are less likely to be injured.

With the commissioner approving the regulatory filing, the WCIRB said it will begin calculating 2018 experience modifications for employers.

The commissioner’s decision applies only to the annual regulatory filing and not the proposal to reduce the advisory pure premium rate to $1.96 per $100 of payroll, from $2.

The Insurance Department will hold a hearing on the rate recommendation at 10 a.m. Oct. 5 in its San Francisco office.

A summary of approved changes in the regulatory filing is here.

All the WCIRB’s 2018 filings are here.

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