Question: What are the rates for the FWCJUA?

The FWCJUA, Florida Workers Compensation Joint Underwriting Association, is intended to be the last resort for businesses who are unable to secure workers’ compensation insurance in the voluntary marketplace. The rates for the FWCJUA are also much higher than those in the voluntary market. The standard Florida workers compensation classification and rating rules apply to FWCJUA policies with the exception that no premium discount or deductible credits will be applied. There is also a flat fee of $475 applicable to all new and renewal FWCJUA policies.

The FWCJUA has three different rating tiers, each with different surcharge amounts. In order to properly calculate the total estimated annual premium, you must determine the tier for which the Employer is eligible. All Tier rating premiums are surcharged above voluntary compariable premium and as of January 1st, 2008, the surcharges are:

• Tier1 - 83%
• Tier2 - 83%
• Tier3 - 134%

Tier 3 is an assessable rating tier. Employers qualifying for Tier 3 shall receive an assessable policy and shall be required to contribute on a pro-rata-earned-premium basis the money necessary to meet any assessment levied to cover any deficit attributable to Tier 3. Participants in Tier 3 may be assessed more than once, and any asessment may be made either while the Tier 3 policy is in effect or at any time after the termination, expiration or cancellation of the Tier 3 policy. Assessments levied against Tier 3 participants shall cover only the deficits attributable to Tier 3.

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