Helena, MT – Montana State Fund’s (MSF) Board of Directors recently announced an average overall five percent (5%) rate decrease for any policy with an effective date in Policy Year 2016 (July 1, 2015 to July 1, 2016).
“This type of rate reduction wouldn’t happen without the commitment of our policyholders and their employees to invest in a safe workplace,” said Laurence Hubbard, President and CEO of Montana State Fund. “Lower injury rates in turn translate to lower premium rates. This means more money in the pockets of Montana business owners who can use it to positively invest it in their workers and their business.”
The Board of Directors has not increased premium rate levels for the past eight years. With the announced 5% rate decrease, MSF rates will have been decreased by 39 percentage points below the level they were on July 1, 2006, or an average annual decrease of over 4%.
In addition, since 1999, MSF has returned $106 million in dividend to Montana businesses. MSF’s focus on safety services and improving our claim management services to injured employees allow us to reward the Montana business community with both lower rates and significant dividends.
Rates are determined by looking at the types of jobs and business classifications of policyholders, as well as individual loss history. Overall rates for customers may vary up or down depending on their industry and experience. MSF’s rate-making process is very similar to that used by private carriers, making it possible to compare rates.
Montana State Fund provides workers’ compensation coverage to over 26,000 employers in the state, making it the largest workers’ compensation insurance company in Montana.
Source: Montana State Fund