Massachusetts workers compensation rates are changing. In March of 2018, the Workers Compensation Rating & Inspection Bureau of Massachusetts issued a letter to all of their members letting them know that rates and Experience Rating would both be altered. How does this impact your business?
What Are the Changes?
The two most important pieces of information in the WCRIBMA letter ,an overall reduction in rates, and changes in the Experience Rating system ,will affect every company with a payroll in Massachusetts. Other changes include:
- revision to the scope of classification codes
- small deductible credit program revision
- changes with regard to U.S. Long shore and Harbor Workers Act coverage
- an overall rate level decrease of 13.3% for F-classes
Who Is Affected?
Only businesses that have payroll in the Commonwealth of Massachusetts will be impacted by these changes. Additionally, the changes will only impact policies that take effect beginning on July 1st, 2018; policies already in force before this date will not be altered by the new rates.
What Does It Mean to My Company?
Rate decreases are good news for everyone. Changes in the ways that Experience Modification Rating factors are calculated mean that companies will likely experience upward or downward movement from their current ratings.
The decrease in Massachusetts workers compensation rates will affect policy costs, but the impact will vary from one policyholder to another. Speak with your insurance company to learn exactly what these changes will mean for your company.