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Insurance Commissioner Approves Loss-Cost Reduction for Workers’ Comp Insurance, Cutting Costs for Many Businesses


Harrisburg, PA - Insurance Commissioner Jessica Altman today announced approval of a loss-cost filing, including a 12.95 percent reduction in loss-costs – a component in determining workers’ comp insurance rates paid by businesses. This reduction should lead to lower premiums for many Pennsylvania businesses.

This loss-cost filing was recommended by the Pennsylvania Compensation Rating Bureau, an independent bureau that makes filings to the Insurance Department on behalf of companies that write workers comp insurance in Pennsylvania. The Insurance Department approved two mid-year loss cost filings in December 2018 following a legislative response to a state Supreme Court ruling concerning how disability claims are handled in workers comp cases, and a second filing correcting a loss-cost filing effective earlier in the year. The approval announced today is for an annual filing, and distinct from the mid-year loss-cost filings.

“This significant cut continues several years of reductions, further helping business owners create good-paying jobs in Pennsylvania,” Altman said. “Under Gov. Wolf’s leadership, my department is working to maintain a vibrant and competitive workers’ compensation insurance market, helping to keep costs down.”

More than 325 companies offer workers’ compensation insurance coverage in Pennsylvania, giving employers attractive, cost-efficient options for this vital insurance. Altman noted the premium savings for an individual employer will vary based on the employer’s risk classification, claims experience and other factors. Not all employers will see a decrease.

The other important component of today’s announcement is that benefit levels have been maintained for injured workers. Labor & Industry Secretary Jerry Oleksiak said certified workplace safety committees overseen by his department are key for both cost and safety.

“Making Pennsylvania’s workplaces safer requires a commitment from employers and employees alike, and workplace safety committees are a valuable tool in that effort,” Oleksiak said.  “It’s a win-win, as companies with a certified committee also receive a 5 percent discount on their workers’ comp insurance premiums.”

More than 12,232 state-certified workplace safety committees have been established since March 1994, protecting more than 1,553,981 workers. Additionally, employers with certified workplace safety committees have saved close to $733.2 million in workers’ compensation premiums. These savings in insurance costs are due solely to the 5 percent premium discount provided to businesses that have these committees.

Oleksiak added his department’s Bureau of Workers’ Compensation Health & Safety Division provides employers with the most up-to-date and relevant safety information and benefits possible for employees.  Employers should contact their insurance company or agent for more information about how their workers’ compensation premiums will be affected.

More information on Pennsylvania insurance products is available here.

Find more information on making Pennsylvania’s workplaces safer here under “Workers’ Compensation Services.”

MEDIA CONTACT: Ron Ruman, Insurance Department, 717-787-3289; Penny Ickes, Department of Labor & Industry, 717-787-7530 -

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