New Ark. Workers’ Comp Rates Show Overall Decline

Arkansas Insurance Commissioner Julie Benafield Bowman announced new, lower-on-average, workers’ compensation rates, which will become effective July 1, 2006.

“While the decrease is moderate, we are pleased to announce that the state’s overall workers’ comp rates continue to decline, with a very few industry lines showing slight increases,” Commissioner Bowman stated. “Arkansas continues to enjoy one of the most stable workers’ comp markets in the country.”

Some companies may experience increases or decreases in excess of the industry average. The new rates reflect only industry averages and will have varying impacts on workers’ comp rates when individual risk factors are applied for each business.

The following overall industry average rate changes will go into effect July 1, 2006:

Industry: Loss Cost Level Change / Assigned Risk Rate Change
Manufacturing———————- +1.0% / -0.5%
Contracting————————– +3.6% / +2.0%
Office/Clerical———————– -1.0% / -2.5%
Goods/Services——————– -3.0% / -4.4%
Miscellaneous———————- -2.9% / -4.4%
Overall Change——————— -0.5% / -2.0%

Source: Arkansas Insurance Department