NCCI Recommends Workers’ Compensation Rate Cuts for 2025

The National Council on Compensation Insurance has recommended a 6.1% overall average reduction in workers’ compensation premium rates for the voluntary market in 2025.

NCCI’s September filing with the Connecticut Insurance Department also included a proposed 6.2% average cut in assigned risk market rates.

The council, which analyzes and recommends rates in more than 40 states, recommended the department approve both rate proposals, effective Jan. 1, 2025 for new and renewing policies.

If approved by regulators, Connecticut workers’ compensation rates will fall for the 11th consecutive year.

Last year, the insurance Department approved NCCI’s recommended 9.8% average decline in voluntary market rates and 10.5% cut in assigned risk rates.

Proposed Average Changes

Industry Group	Voluntary Market	Assigned Risk Market
Manufacturing	-8%	-8.1%
Contracting	-6.9%	-7%
Office & Clerical	-5.6%	-5.7%
Goods & Services	-5.2%	-5.3%
Miscellaneous	-5.7%	-5.8%
Overall	-6.1%	-6.2%

NCCI’s recommended rate reductions vary by industry classification, ranging from 5.2% for goods and services to 8% for manufacturing in the voluntary market.

In the assigned risk market, average proposed rate reductions range from 5.3% for goods and services to 8.1% for manufacturing.

“These rate decreases are a testament to the effort given by businesses to create the safest workplaces in the nation.”

CBIA’s Pete Myers

The decade-long span of declining workers’ compensation rates has seen cumulative savings of more than $300 million in reduced premium costs for employers.

In a Sept. 26 letter to CID commissioner Andrew Mais, CBIA senior public policy associate Pete Myers urged the department to adopt the NCCI recommendations.

“These repeated rate decreases are a testament to the effort given by our state’s businesses to create the safest workplaces in the nation,” he wrote.

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For more information, contact CBIA’s Pete Myers (860.244.1921).