Worker’s Compensation Rates Slashed 9.8 Percent In Idaho

Overall worker’s compensation premium rates paid by tens of thousands of Idaho employers will be reduced 9.8 percent and minimum premiums for most will be reduced by $140 next year.

“Idaho’s employers and their employees deserve the credit for this rate reduction through their hard work in keeping job sites in Idaho safe,” Gov. Phil Batt said Thursday. “The business climate in Idaho will improve as a result of this rate decrease.”

The 9.8-percent overall decline in premium rates, effective Jan. 1, was filed by the National Council on Compensation Insurance and approved by state Department of Insurance Director John Michael Brassey.

More than 32,000 Idaho employers are covered by worker’s compensation insurance, including some 20,000 by the state Insurance Fund.

Of approximately 600 categories of employer, some will see premium increases and a few will see rate reductions of 30 percent or more, but most will have their premiums reduced in the range of the overall reduction.

In addition, the minimum annual premium charged to most employers will drop by $140, from $750 to $610, with elimination of an “expense constant” fee now factored into rates.

“Favorable worker’s compensation rates will help Idaho attract new businesses,” Batt said. “Cost containment measures benefit Idaho consumers, too, as Idaho businesses and employers won’t have increased costs to pass on to consumers.”

Batt has questioned higher worker’s compensation premium rates that have resulted in multimillion-dollar annual refunds to employers from the state Insurance Fund.

The fund’s dividend last year was $28.5 million. The rate reduction could result in a reduced refund next year.

, DataTimes