LWCC PAYS $10 MILLION DIVIDEND:

The Louisiana Workers’ Compensation Corporation (LWCC) recently distributed its first-ever dividend, returning $10 million to over 21,000 qualifying Louisiana policyholders. LWCC said the distribution was a goal of the Board of Directors since the company’s inception. It is believed to be the largest single dividend ever declared in the state of Louisiana by a workers’ comp insurer. The amount each policyholder received was determined based on a combination of premiums paid and loss history over the last five years. “The dividend accentuates the remarkable job that LWCC’s employees, agents and policyholders have done in transforming a workers’ compensation system that was on the verge of collapse just over 10 years ago,” said Steve Cavanaugh, LWCC’s president and chief executive officer. “In addition to serving as the market of last resort, LWCC has proven to be the market leader, driving positive, competitive pressure in the Louisiana insurance market.” The company said it was able to declare the dividend because of its strong financial position, which is a result of operating efficiencies, effective financial management, dedication to workplace safety and good management of claims. LWCC is a private, nonprofit mutual insurance company. It is the state’s largest writer of workers’ compensation insurance, covering about 23,000 policyholders and 34 percent of the insured market in Louisiana. The company is rated “A” (Excellent) by A.M. Best and was named one of the top 50 property and casualty insurance companies in the nation for the second year in a row by Ward Group, an authority on insurance industry benchmarking.