Today’s issue of WorkCompRecap features some interesting market condition news from Fitch, who recently released a report analyzing the workers’ comp market and factors currently influencing it. Additionally the report reviewed results from the top 15 workers’ compensation underwriters and the shifting market composition over the last five years.
According to the report, workers’ comp posted a statutory combined ratio of 117% in 2011, the worst result in the past 10 years for the line. Recent premium rate increases were however seen as an indication that the market may have reached a cyclical bottom. Fitch was careful to point out that claims costs will continue to be affected by rising medical severity and premium rates will need to improve further for the market to reach underwriting breakeven.
Find out more by clicking here!