Posted on May 19, 2014
Pennsylvania employers can expect lower workers compensation in insurance rates in 2012. The state's Insurance Department approved a decrease of 5.7% that will ultimately result in overall workers comp savings of $160 million.
The new rates will not be a flat decrease across the board. Instead, the rates will vary depending on a company's industry and the claims or loss history of the employer. The bright spot is that with the financial woes many Pennsylvania companies are experiencing in this tight economy, paying less for workers compensation can ease some of the pressure of balancing income and expenses all while protecting injured employees.
The Pennsylvania workers comp rate decrease is the first in three years, and the Insurance Commissioner attributes it to Pennsylvania employer's commitment to workplace safety. The state currently manages a safety program called the Certified Workplace Safety Committee, which offers a 5 percent discount on workers compensation insurance to employers that enroll and participate. The state has over 9,600 companies representing over 1.3 million employees that participate in the program.
Companies can qualify for the safety program by applying for approval with the Pennsylvania Department of Labor and Industry. To join, a company must be in business for a minimum of six months and be represented by two employer and employee representatives that meet monthly. All company committee members need to be trained in safety committee operations, inspection of hazards and investigation of accidents. Training must be conducted by qualified safety trainers, and employers must keep detailed records of attendance, meeting minutes and agendas.
Employers interested in the workplace safety program can obtain more information by visiting the Department of Labor and Industry online athttp://www.portal.state.pa.us/portal/server.pt/community/health___safety_division/10387 .