CALPASC Director of Risk Management Bruce Wick made the motion for the midterm filing. The Governing Committee then voted unanimously to adopt the proposed decrease. The reforms of SB 863 from 2012 continue to improve WC results, and a proposal to reduce the advisory rates from July 1, 2016 and after by 4.8% is warranted.
Insurance Commissioner Dave Jones will hold a public hearing on the proposal, and give a ruling well before July 1st.
CALPASC members are reminded that there is a significant disparity in WC claim costs between the Los Angeles Basin and the rest of the state. Employers in the L.A. Basin will likely see little of a decrease, and perhaps increases in their WC renewals; while employers in the rest of the state could see healthy decreases.