Dispute holds up workers comp hike - Insurance News | InsuranceNewsNet

InsuranceNewsNet — Your Industry. One Source.™

Sign in
  • Subscribe
  • About
  • Advertise
  • Contact
Home Now reading Newswires
Topics
    • Advisor News
    • Annuity Index
    • Annuity News
    • Companies
    • Earnings
    • Fiduciary
    • From the Field: Expert Insights
    • Health/Employee Benefits
    • Insurance & Financial Fraud
    • INN Magazine
    • Insiders Only
    • Life Insurance News
    • Newswires
    • Property and Casualty
    • Regulation News
    • Sponsored Articles
    • Washington Wire
    • Videos
    • ———
    • About
    • Meet our Editorial Staff
    • Advertise
    • Contact
    • Newsletters
  • Exclusives
  • NewsWires
  • Magazine
  • Newsletters
Sign in or register to be an INNsider.
  • AdvisorNews
  • Annuity News
  • Companies
  • Earnings
  • Fiduciary
  • Health/Employee Benefits
  • Insurance & Financial Fraud
  • INN Exclusives
  • INN Magazine
  • Insurtech
  • Life Insurance News
  • Newswires
  • Property and Casualty
  • Regulation News
  • Sponsored Articles
  • Video
  • Washington Wire
  • Life Insurance
  • Annuities
  • Advisor
  • Health/Benefits
  • Property & Casualty
  • Insurtech
  • About
  • Advertise
  • Contact
  • Editorial Staff

Get Social

  • Facebook
  • X
  • LinkedIn
Newswires
Newswires RSS Get our newsletter
Order Prints
November 6, 2017 Newswires
Share
Share
Post
Email

Dispute holds up workers comp hike

Central Penn Business Journal (PA)

A dispute has slowed down the regulatory process for approving the hike, which was intended to take effect Nov. 1.

The increase is designed to account for a state Supreme Court ruling that voided a cost-saving measure in Pennsylvanias workers compensation law, sparking fears of higher costs.

But it is being opposed by a group representing Pennsylvania trial lawyers. The group, Pennsylvania Association for Justice, filed an objection in early October with the Pennsylvania Department of Insurance. The department must approve the increase before it takes effect.

The request for higher rates was filed in August by the Pennsylvania Compensation Rating Bureau, a Philadelphia-based independent nonprofit that helps set workers comp premiums in the commonwealth.

An actuary hired by the trial lawyers' group challenged the calculations and estimates used by the bureau to come up with what amounts to a roughly 6 percent increase in insurance premiums. The move is expected to cost businesses $165 million overall, the association noted.

"We respectfully request that you review his analysis and, in light of his finding, reject PCRBs loss cost filing or delay consideration at least until you have had an opportunity to hold a hearing on this important matter," Thomas F. Previc, the associations director of public affairs, wrote in a letter to the department.

A man who answered the phone at the association on Thursday confirmed the filing, but declined to comment further.

The rating bureau filed a rebuttal on behalf of its work.

"Were defending it pretty aggressively," said William Taylor, the organizations president.

Also defending the increase is the state Office of Small Business Advocate, an independent state agency that represents small businesses in legal and regulatory matters.

A decision on the rate hike is unlikely to take place by Nov. 1, Ron Ruman, a spokesman for the insurance department, confirmed Friday in an email. By law the department has days to consider the request, which would put its deadline in February.

"We still are not sure what the department will do," Taylor said.

The rating bureau typically files just one rate request per year to take effect in April.The court ruling itself revolves around use of so-called impairment review evaluations. The evaluations allowed companies, in certain cases, to cap costs for paying out wages lost due to worker injury.

Established by Act 57 of 1996, a workers comp reform measure, the evaluations were ruled unconstitutional by the Supreme Court this summer.

State lawmakers are considering legislation that would restore use of the evaluations.

Critics have argued that other provisions of Act 57 are sufficient to hold down costs for employers, an argument echoed by the Pennsylvania Association for Justice.

In its objection to the rate hike, the group argued that the rating bureau overestimated the cost of losing impairment review evaluations.

And it noted that employers and insurers can still use a provision known as compromise and release, under which companies and employees can agree to final lump-sum settlements of injury claims.View the full article from the Central Penn Business Journal at http://www.cpbj.com/article/201730/CPBJ01/172941/dispute-holds-up-workers-comp-hike. Copyright 2017 BridgeTower Media. All Rights Reserved.

Copyright 2017 BridgeTower Media. All Rights Reserved.

CREDIT: Joel Berg

Older

Trump: Texas Mass Shooting Is About Mental Health, Not Guns

Newer

Decisions, decisions

Advisor News

  • Trump bets his tax cuts will please Las Vegas voters on his swing West
  • Lifetime income is the missing link to global retirement security
  • Don’t let caregiving derail your clients’ retirement
  • The ‘magic number’ for retirement hits $1.45M
  • OBBBA can give small-business clients opportunities for saving
More Advisor News

Annuity News

  • Human connection still key in the new annuity era
  • Lifetime income is the missing link to global retirement security
  • ‘All-weather’ annuity portfolios aim to sharply limit rainy days
  • Annuity income: The new 401(k) standard?
  • Smart annuity planning can benefit long-term tax planning
More Annuity News

Health/Employee Benefits News

  • Trump admin seeks health-care price transparency
  • OID approved in effort to make health coverage more affordable
  • MEDICAID COST-SHARING COVERAGE VETO SUSTAINED
  • MEDICAID COST-SHARING COVERAGE APPROVED
  • DeSantis administration gets pushback for its child health policies
More Health/Employee Benefits News

Life Insurance News

  • Best’s Market Segment Report: Australia’s Non-Life Insurance Segment Navigating Growth in a Volatile Landscape
  • AI and life insurance: Fast today, unpredictable tomorrow
  • Judge allows PHL policyholders to intervene, denies ‘premium holiday’
  • eHealth expands into final expense insurance
  • CID hosts info session for PHL Variable policyholders
More Life Insurance News

- Presented By -

Top Read Stories

More Top Read Stories >

NEWS INSIDE

  • Companies
  • Earnings
  • Economic News
  • INN Magazine
  • Insurtech News
  • Newswires Feed
  • Regulation News
  • Washington Wire
  • Videos

FEATURED OFFERS

Protectors Vegas Arrives Nov 9th - 11th
1,000+ attendees. 150+ speakers. Join the largest event in life & annuities this November.

An FIA Cap That Stays Locked
CapLock™ from Oceanview locks the cap at issue for 5 or 7 years. No resets. Just clarity.

Aim higher with Ascend annuities
Fixed, fixed-indexed, registered index-linked and advisory annuities to help you go above and beyond

Unlock the Future of Index-Linked Solutions
Join industry leaders shaping next-gen index strategies, distribution, and innovation.

Leveraging Underwriting Innovations
See how Pacific Life’s approach to life insurance underwriting can give you a competitive edge.

Bring a Real FIA Case. Leave Ready to Close.
A practical working session for agents who want a clearer, repeatable sales process.

Press Releases

  • RFP #T01325
  • RFP #T01325
  • RFP #T01825
  • RFP #T01825
  • RFP #T01525
More Press Releases > Add Your Press Release >

How to Write For InsuranceNewsNet

Find out how you can submit content for publishing on our website.
View Guidelines

Topics

  • Advisor News
  • Annuity Index
  • Annuity News
  • Companies
  • Earnings
  • Fiduciary
  • From the Field: Expert Insights
  • Health/Employee Benefits
  • Insurance & Financial Fraud
  • INN Magazine
  • Insiders Only
  • Life Insurance News
  • Newswires
  • Property and Casualty
  • Regulation News
  • Sponsored Articles
  • Washington Wire
  • Videos
  • ———
  • About
  • Meet our Editorial Staff
  • Advertise
  • Contact
  • Newsletters

Top Sections

  • AdvisorNews
  • Annuity News
  • Health/Employee Benefits News
  • InsuranceNewsNet Magazine
  • Life Insurance News
  • Property and Casualty News
  • Washington Wire

Our Company

  • About
  • Advertise
  • Contact
  • Meet our Editorial Staff
  • Magazine Subscription
  • Write for INN

Sign up for our FREE e-Newsletter!

Get breaking news, exclusive stories, and money- making insights straight into your inbox.

select Newsletter Options
Facebook Linkedin Twitter
© 2026 InsuranceNewsNet.com, Inc. All rights reserved.
  • Terms & Conditions
  • Privacy Policy
  • InsuranceNewsNet Magazine

Sign in with your Insider Pro Account

Not registered? Become an Insider Pro.
Insurance News | InsuranceNewsNet