Question: What have been some of the previous changes of workers’ compensation rates in Florida?
The rates in Florida are decided by the Workers’ Compensation Division of the Florida Department of Financial Services. Rate changes are researched by NCCI (National Council on Compensation Insurance) and are proposed to the Florida government. They then decide the rates based on losses reported from insurance companies in each classification code. Each class code has its own individual rate. Click here to read more about Florida workers’ compensation rates.
Below is a list of the average rate changes issued for Florida workers’ compensation insurance:
- January 1999 - 1.5% increase in rates
- January 2000 - 2.5% increase in rates
- January 2001 - No change
- January 2002 - 2.7% increase in rates
- April 2003 - 12.9% increase in rates
- October 2003 - 14.0% decrease in rates
- January 2005 - 5.2% decrease in rates
- January 2006 - 13.5% decrease in rates
- January 2007 - 15.7% decrease in rates
- January 2008 - 18.4% decrease in rates
The January 2008 reduction represented the 5th consecutive reduction in workers comp rates since 2003. Below are the cumulative rate reductions since October 2003 by industry group:
Cumulative (10/1/03 - 1/1/08)
Manufacturing - 47.6%
Contracting - 52.0%
Office and Clerical - 50.8%
Goods and Services - 51.5%
Miscellaneous - 53.0%
TOTAL - 51.4%
Prior to legislative reforms in 2003, Florida consistently ranked No. 1 or No. 2 in the country for the highest workers’ compensation rates; however, Florida has since dropped far out of the top 10 rankings. Florida businesses are now able to enjoy much lower workers’ compensation rates.
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