Delaware workers’ compensation insurance rates will drop by about 20% in December, according to the Department of Insurance.
The voluntary market is seeing an average 20% decrease in voluntary market loss costs, and residual market rates are also decreasing by an average of 20%, according to a press release from the Department of Insurance.
It's the fifth year in a row that workers' compensation rates have dropped. This year's decrease, which was decided by the Delaware Compensation Rating Bureau, will go into effect on Dec. 1.
Policyholders will see rate changes upon renewal. Savings vary by policy.
Lower premiums do not change how much a worker can get in compensation insurance, but it does affect employers. The rates that employers pay help cover medical treatment or lost wages if a worker gets hurt on the job.
Delaware businesses can save even more money on workers' compensation premiums through the Department of Insurance's Workplace Safety Program. Eligible businesses can get up to a 19% discount on insurance, and last year's total savings was about $7 million, according to the department.
Eligible businesses are notified about the program annually seven months prior to their renewal date. Late applications are being accepted because many businesses were closed due to COVID-19.
Interested organizations can access questionnaires online at https://insurance.delaware.gov/services/workplacesafetydiscount/ and contact email@example.com. Questionnaires should include a business' current hours and best point of contact in order to plan a site visit with an inspector.
A business cannot be subject to premium increases or sanctions imposed by other safety enforcement officials if they fail to qualify, according to the department.
“We have worked hard to lower worker’s compensations costs year after year to help our local businesses and attract new ones to our state," said Insurance Commissioner Trinidad Navarro in a statement.
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Sarah Gamard covers government and politics for Delaware Online/The News Journal. Reach her at (302) 324-2281 or firstname.lastname@example.org. Follow her on Twitter @SarahGamard.
This article originally appeared on Delaware News Journal: Delaware workers' compensation insurance rates drop by double digits