Covid-19 Surcharges Amended

The Worker’s Compensation Insurance Rating Bureau’s Actuarial Committee has just approved that it’s recent filing for 2021 be amended as the per-class Covid-19 surcharge that will be added to pure premium rates is changing.  While the Bureau had initially said that claims from the pandemic would not impact X-Mods, the surcharge is effectively a charge to all employers based on each sector’s exposure to Covid-19 claims.  The proposed changes include increasing from four to six tiers to allow for more differentiation in the surcharge based on each sector’s exposure to Covid claims, with surcharges ranging from 1 cent for management of companies and enterprises to up to 24 cents for healthcare workers. Overall the proposed changes will result in a 2.6% average increase in rates for the 2021 year.

Source: https://www.wcexec.com/flash-report/covid-19-premium-surcharge-changes/