Oakland, CA – The WCIRB recently testified at a California Department of Insurance (CDI) public hearing regarding the WCIRB’s July 1, 2015 Pure Premium Rate Filing which was submitted to the CDI on April 6, 2015.
WCIRB Executive Vice President and Chief Actuary Dave Bellusci, along with President and CEO Bill Mudge, presented the actuarial basis for the WCIRB’s average proposed July 1, 2015 advisory pure premium rate of $2.46 which reflects a 10.2% reduction from the average approved January 1, 2015 advisory pure premium rate of $2.74. Among the primary factors driving the proposed decrease are favorable medical loss development, lower than projected indemnity and medical claim severity, and better than expected accident year losses for 2014. While the current indications are favorable in terms of losses, Mr. Bellusci cautioned that increasing claim frequency in the Los Angeles area and increases in loss adjustment expenses are of concern and will continue to be monitored by the WCIRB and its Actuarial Committee.
At the conclusion of the hearing, the hearing officer announced that the record will officially close at 5:00PM, on May 1, 2015. The Commissioner is expected to issue a decision with respect to the WCIRB’s filing within 30 days of the close of the record. The WCIRB will post the decision to its website once it is issued by the Commissioner and will release a WCIRB Wire story.
Source: CA WCIRB