Oklahoma City, OK – Insurance Commissioner Glen Mulready recently announced that Oklahoma businesses should see another rate decrease in workers’ compensation insurance beginning on January 1, 2023.
The Oklahoma Insurance Department has approved an annual filing with an 8.2 percent decrease in workers’ compensation insurance loss costs for 2023.
This marks the 12th consecutive year that the department has approved loss cost decreases for workers’ compensation insurance. Oklahoma’s loss cost has decreased significantly from 2016 to 2021, averaging a 9.5 percent decrease per year. Oklahoma’s cost decreases have exceeded countrywide decreases over the last 10 years. Moreover, Oklahoma’s lost-time claim frequency has come down significantly over the last 15 years (by almost 50%) and is projected to continue to decline into 2023.
“We are pleased to announce another significant loss cost decrease that will help support Oklahoma workers and businesses who have struggled with inflation and economic difficulties caused by the pandemic,” Commissioner Mulready said. “Through our administrative system overseen by the Workers’ Compensation Commission, the continued reform policies enacted by the Governor and legislature, and our cost-efficient, competitive workers’ compensation insurance market, we continue to show employers that Oklahoma is an attractive place to do business.”
Loss costs are the average cost of lost wages and medical payments of workers injured per $100 of payroll or as a percentage of payroll. The new loss costs will go into effect for new and renewing policies effective January 1, 2023.