FLA. DISAPPROVES WORKERS' COMP RATES:

Florida Commissioner of Insurance Regulation Kevin McCarty, disapproved the latest workers’ compensation rate filing because the decrease in rates was reportedly not enough. McCarty ordered the National Council on Compensation Insurance (NCCI) to re-file rates that reflect a larger rate decrease. The reforms passed by the Legislature have reduced the high rates Florida’s businesses pay to protect their employees. NCCI had proposed an overall statewide average decrease in premiums of 0.9 percent in a Sept. 15, 2004, amendment to the filing. This was down from a 2.2 percent decrease that NCCI had initially filed for rates on new and renewal business beginning Jan. 1, 2005. A public hearing was held Oct. 5 to allow interested parties to testify on the filing. In his order, McCarty said he would approve a revised filing with an overall statewide premium reduction of 5.1 percent and with an overall statewide premium drop of 11.8 percent for contractors. Among the reasons the filing reportedly was disapproved were disagreements with the supporting documents; with the loss trend calculations and with the filing’s reinsurance provisions.