A June 20 PA Supreme Court decision removing the cap on benefits paid out to severely injured workers based on American Medical Association guidelines may result in a 6 percent or more increase in Workers’ Compensation insurance rates in Pennsylvania, according to a report in the Central Penn Business Journal.
The cap had been in place since 1996.
The cap had been in place since 1996.
The PA Compensation Rating Bureau, an independent nonprofit in Philadelphia that helps set workers’ comp premiums in the state, filed a request with the Department of Insurance on August 15 seeking a 6.06 percent increase in what is called the “loss cost,” which is directly reflected in premium changes.
If approved by the Department, the increase would apply to policies written or renewed after November 1.
An increase of 6.06 percent would take back most of the 6.21 percent decrease in Worker’s Compensation rates announced by Gov. Wolf in March of this year.
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