Today’s issue of WorkCompRecap features the announcement from California Insurance Commissioner Ricardo Lara that he will maintain the workers’ compensation insurance benchmark rate at $1.45 per $100 of payroll.
The decision results in an average advisory pure premium rate that is below the $1.56 average rate proposed by the Workers’ Compensation Insurance Rating Bureau of California (WCIRB) in its filing with the Department of Insurance. CDI noted that this year’s pure premium rate remains the same as last year’s rate, and again does not include a COVID-19 factor because of continued uncertainty regarding COVID-19 and its effects on the economy. The recommended rate of $1.45 is only advisory, and is about 18% lower than the industry-filed average pure premium rate of $1.77 as of January 1st.