Earlier today, the WCIRB testified at a California Department of Insurance (CDI) public hearing regarding the WCIRB’s January 1, 2019 Pure Premium Rate Filing, which was submitted to the CDI on August 20, 2018.
WCIRB Executive Vice President and Chief Actuary, Dave Bellusci, along with President and CEO, Bill Mudge, presented the actuarial basis for the WCIRB’s average proposed January 1, 2019 advisory pure premium rate of $1.70, which is 4.5% less than the average approved July 1, 2018 advisory pure premium rate of $1.78.
Mr. Bellusci and Mr. Mudge discussed the key components of the WCIRB’s filing, which represented the eighth consecutive proposed advisory pure premium rate decrease totaling 40% as compared to the January 1, 2015 pure premium rates. In particular, the WCIRB discussed continued downward loss development, the projected rate of growth in medical costs and the projection of unallocated loss adjustment expenses.
At the conclusion of the hearing, the hearing officer announced that the record will officially close at 5:00 PM, on Monday October 8, 2018. The Insurance Commissioner is expected to issue a decision with respect to the WCIRB’s filing within 30 days of the close of the record. The WCIRB will post the decision to its website once it is issued by the Insurance Commissioner and will release a WCIRB Wire story.