Posted on May 19, 2014
Maine business owners have a lot to celebrate after the state of Maine decreased workers compensation insurance rates twice in a one year period.
The employer focus on creating safe working environments led to the Workers Compensation Board's first rate decrease of 3.2 percent. The Board voted for the $6.1 million 2012 decrease in November 2011, and then in December 2011 added another 3.8 percent decrease with an expected $7 million more in savings. The Maine Workers Compensation Board granted the second workers compensation decrease based on the legislature's release of a new medical fee schedule required by overhaul legislation passed in 1992.
With workers compensation rates increasing in states nationwide, two decreases in the same year will hopefully help Maine business owners balance their expenses. Other ways companies can look to reduce their workers compensation premiums is by reviewing their existing policies to make sure that employees are appropriately classified for the work they perform. Because rates vary between different jobs, additional savings may be realized if employees are wrongly classified.
Businesses also must stress safety on the job. Reducing claims can also help to lower workers comp insurance premiums because rates are tied to the number and amount of claims filed by a business. Implementing a return to work program for injured employees can also reduce claims costs thus translating into additional savings for employers.