According to Insurance Commissioner John Doak, workers’ compensation insurance rates could increase due to a decision by the Oklahoma Supreme Court. Doak said his office has received a supplemental advisory loss cost filing from the National Council on Compensation Insurance (NCCI). It showed an overall increase in loss costs of 3.4 percent.
“It is important for both consumers and the Legislature to understand how these legal issues impact our economy,” said Doak. “I fully support the difficult work the Legislature has taken on with its efforts to improve our state’s workers’ compensation system. This filing gives us all a chance to see how the recent Court decision impacts costs related to workers’ compensation insurance.”
Doak said NCCI provides comprehensive loss costs filings to the state annually to show how changes in the law and employer loss experience trends are expected to impact future losses. The trend has shown a reduction of 37.2 percent over the past three years. Insurers use the loss cost filings when setting insurance premium rates.
The increase is due to an April 12 Oklahoma Supreme Court ruling on April 12, 2016.
The current lost cost filing is set to go into effect July 1, 2016, but that filing could be withdrawn if pending legislation is passed this Legislative session.
