The following is an excerpt from the email sent to FAPEO members:
By David Daniel
Florida PEO Lobbyist
Yesterday NCCI released their proposed rate filing for workers compensation rates for 2018. This filing was for a rate DECREASE of 9.6 % effective January 1, 2018. They expect OIR to hold a public hearing on this proposed increase sometime in October.
The expectation was for an additional significant rate increase based on the recent Florida Supreme Court actions and how the change impacted behavior. Apparently NCCI has based this recommendation on a downward trend in experience and from data from 2014-15. They indicate this recommendation is not a law filing like last year but rather an experience filing. They believe the impacts of the Castellanos case were addressed in their last recommendation.
This caught the business community off guard and it takes the political wind out of the sails for real workers compensation reform in the 2018 Legislative Session. While I can make the case that this is good new for the business community it could put a squeeze on workers compensation carriers in the marketplace.
Robert Skrob, CPA, CAE
Florida Association of Professional Employer Organizations
Comment below what you think of this recommendation from NCCI.
Risk Consultant at Libertate Insurance