NYC Workers Comp Rate Changes for 2014-NYS ASSESSMENT
A 9.5% NYC Workers Comp Rate increase has been approved by the New York State Department of Financial Services effective 10/1/2013. As mentioned in our previous posts this is an average. Some classes will be lowered and many will be increased. The biggest change effecting the Workers Comp Market is that they NYS Assessment which is a 18.8% tax imposed upon workers comp policies will remain the same for Private carriers. Those businesses insured by the NY State Insurance fund . Will see a substation increase in their NYC Workers Comp Rate due to the fact that since 2008 the NY State Insurance Fund has been allowed to charge only half the NYS Assessment charge.
NYC Workers Comp Rate Changes for 2014 State fund holders see biggest jump
For the last 5 years NYC Workers Comp Rate policy holders with the State Insurance Fund have enjoyed a lower assessment ranging from 8-10%, this year 9.2%, while NYC Workers Comp Rate policies with Private insurers have had to pay 18-20%. How ever the new reform is going to even the playing field between private carriers and the NY State Insurance fund. So not only with NYC Workers Comp Rates go up by an average 9.5% the NYSIF policy holders will also see an additional 9.6% increase .
NYC Workers Comp Rate Changes for 2014-Example
A Trucking company using class code 7219 is going to see a manual NYC Workers Comp rate increase of 8.3%. In addition their NYC Workers Comp assessment is going from 9.2% to 18.8% which is an additional 9.6 %. This equals an overall increase of 17.9% for this Trucking example
Several other classes are going to see double digit increases which would make their NYC policy increases even more.
If you are a NYC or NY State business business owner and are concerned about your NYC Workers Comp Rate for this up coming policy renewal please contact us.