Pinnacol in Colorado to Drop Workers’ Comp Rates, Issue Dividend in 2019
Pinnacol Assurance’s Board of Directors has approved a plan to decrease workers’ compensation rates in 2019 by an average of 10 percent.
The decrease will go into effect on Jan. 1, 2019, and will be the fourth straight year Pinnacol has decreased rates. Pinnacol’s board also declared its intent to issue a general divided of roughly $70 million in 2019.
The Colorado Division of Insurance has approved a 16.7 percent average statewide loss cost decrease for the 2019 policy year based on recommendations from the National Council on Compensation Insurance.
Pinnacol said its rate change reflects longer-term underlying loss and expense trends to minimize short-term volatility and create marketplace stability for Colorado employers.
The general dividend is a portion of Pinnacol’s surplus returned to its customers that earn it through successful workplace safety records controlling claims costs.
Pinnacol provides workers’ comp to 57,000 Colorado employers.