N.C. Workers' Comp Insurers Seek Rate Increase

Sheila Chavis

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On Friday, September 1, 2007, the North Carolina Rate Bureau filed a request with the N.C. Department of Insurance for a 5.9% increase in workers' compensation insurance rates. A request for an increase in insurance rates, in itself may be alarming to N.C. employers and employess. However, the requested rate increase pales in comparison to the 2006 request of 12.1%. The Depart of Insurance ultimately approved a 7.3% rate increase for 2006.

Jim Lore, a plaintiff's attorney who also has worked as an unpaid lobbyist on workers' comp issues for the N.C. Academy of Trial Lawyers and labor groups, called the rate request "good news" for the state because it's lower than recent requests.

With medical costs, wages and overall inflation on the rise, it's unreasonable to expect rates to be static every year, Lore said.

If approved, the increase in rates would take effect in April 2008. The increase would be borne by the employers who purchase workers' compensation insurance. Self-insured employers obviously would not be effected by the rate change.

For more information on this subject matter, please refer to the section on Workers Compensation.