Many Connecticut businesses are paying higher workers’ compensation insurance premiums in 2013—in some cases as high as 9.9%.

Bills received for policy renewals on or after January 1, 2013, incorporate the rate increases approved by the Connecticut Insurance Department. These include an overall rate increase of 7.1% for policies purchased in the normal, or voluntary market and an increase of 0.4% in the assigned risk market.

Here’s how the rate increases break down by industry: 

Voluntary Market

  • Manufacturing: + 6.8%
  • Contracting: + 9.9%
  • Office & Clerical: + 0.9%
  • Goods & Services: + 7.6%
  • Miscellaneous: + 8.8%
  • Overall: + 7.1%

Assigned Risk Market

  • Manufacturing: + 0.1%
  • Contracting: + 3.0%
  • Office & Clerical: -5.4%
  • Goods & Services: + 0.9%
  •  Miscellaneous: + 2.0%
  •  Overall: + 0.4%

Costs for self-insured companies will likely increase as well, since their costs generally mirror those for insured businesses.

One major factor contributing to the rise of workers’ compensation rates in Connecticut is the significant increase in the average medical cost per case.                                                               

The January 1 rate changes are “pure premium” rates, which do not include costs associated with administration, premium taxes, and other expenses—nor do they take companies’ claims experience into consideration.

Thus, individual employers’ rates may vary from the proposed rate increases based on their individual claims experience.

For more information, contact CBIA’s Bonnie Stewart at 860.244.1925 or