Workers' comp rates to rise 10.1 percent. (Insurance Update).
While no one expects the South to rise again, workers'
compensation insurance rates in California have.
In May, the California Department of Insurance approved a 10.1
percent increase in average workers' compensation pure premium
rates. The increase applies to policies that begin or are renewed
beginning July 1.
This mid-year increase follows on the heels of a 10.2 percent
average increase that began Jan. 1, 2002.
The DOI says the rate increases have been due to: sharp increases
in medical costs; intense competition among insurers that drove worker
compensation insurance prices below cost, to the point where some
insurers could not afford to offer those prices; and the demise of the
state's largest worker's comp insurance company, Superior
National, in 2000.
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