NCCI Changes Experience Modification Calculations
Workers' Compensation Experience Modification calculations are changing for the first time in years. This could actually be good news for those with no losses, but it will likely be painful for those with significant losses. There are 38 states that use NCCI to set their workers' compensation rates. Starting on January 1, 2013 the NCCI has adjusted what is know as the "split point" in an effort to more accurately reflect the risks frequency and severity of loss in their premium. This is bound to have a big effect on how underwriters view accounts and employers who haven't controlled losses are going to pay the price. To read more download our white paper New Procedures for Calculating the Worker's Compensation Experience Modification.