May 31, 2016
NCCI Proposes 17.1% Increase to Florida Workers’ Compensation Rates
The National Council on Compensation Insurance (NCCI) has filed a proposed workers’ comp rate increase of +17.1% with the Office of Insurance Regulation (OIR). If approved by OIR, the rate increase will be effective for new workers’ comp policies on August 1, 2016, and will also apply to all existing policies on a pro rata basis from August 1st through the remainder of the policy term. The +17.1% increase is a flat increase and will be applied to each class code across the board.
NCCI’s request for a rate increase is in response to a recent decision from the Florida Supreme Court invalidating the law capping claimant attorney fees in workers’ comp. This attorney fee limitation was a major component of the workers’ comp reforms of 2003 that were responsible for decreasing rates over 60% in Florida.