Simple WC Question from an Employer

Writer_Ben

New Member
1
Greetings all.

I am seeking an answer to what seems to be a very simple question. I think I know the answer, but would love some clarification.

Do workers' compensation premium rates differ from one provider to the next or are the rates determined by the state (California, in this case)?

In other words, is it worth calling around to different companies to solicit different rate quotes, or are they all going to be (more or less) the same?

Thank you in advance for any help you may be able to offer.

(You'd think this was an easy question to answer with Google-Fu, but apparently my skills are lacking).
 
Greetings all.

I am seeking an answer to what seems to be a very simple question. I think I know the answer, but would love some clarification.

Do workers' compensation premium rates differ from one provider to the next or are the rates determined by the state (California, in this case)?

In other words, is it worth calling around to different companies to solicit different rate quotes, or are they all going to be (more or less) the same?

Thank you in advance for any help you may be able to offer.

(You'd think this was an easy question to answer with Google-Fu, but apparently my skills are lacking).

Worker's Compensation rates will vary some. Your experience mod is used to determine your base rate, however, carriers have the option to provide additional credits which can lower your overall spend.

I'd recommend coordinating with one local independent agent that can access multiple carriers and have them shop it for you.
 
Great response. Definitely worth shopping. We saved a client quite a bit of $ by shopping the account and placing it with a different carrier. It's beneficial to have your account evaluated to insure your experience mod is properly set and your other coverages are where they should be based on your needs.
 
If it's like health insurance, you may also get a company that will work on beating your current premiums, just to get your business. The reductions may or may not follow into the next year.

I was just looking a bit about workers compensation and I had forgotten about the job classifications. The way your employees are classified is a key factor in the rates. If you have a company of any size and those job classifications have not been reviewed by someone skilled and knowledgeable in the area of workers comp, you could be paying incorrectly just from that factor. That is one thing you can evaluate with comparative quotes.
 
Last edited:
Back
Top