California’s Division of Workers’ Compensation has proposed increasing
permanent disability benefits by an average of 16 percent as part of changes to
the state’s permanent disability rating schedule.
Workers’ comp reforms required the disability rating schedule to be based on
empirical data that ties wage loss to injury type, DWC administrative director
Carrie Nevans said in a statement. The DWC now has enough data to support an
increase, she said.
The Sacramento-based California Applicants’ Attorneys Association, however,
called the proposed increase “wholly inadequate.”
The DWC is accepting comments on its proposal until May 23.
California Insurance Commissioner Steve Poizner also announced he would not
recommend any change in insurers’ pure premium rates because of stability in the
state’s workers’ comp market. It is the first time in six years that
California’s Insurance Department has not suggested a midyear pure premium rate
change.
In Montana, meanwhile, the Montana State Fund announced it will reduce
workers’ comp rates by 3 percent beginning July 1.
Filed by Roberto Ceniceros of Business Insurance, a sister publication of
Workforce Management. To comment, e-mail editors@workforce.com.