The workers’ compensation market has likely entered a soft market phase based on a declining trend in price increases that began in 2013, according to a new special report from A.M. Best. The Best’s Special Report titled, “State Funds’ Net Premiums Written Increased for Fifth Consecutive Year In 2015,” cited rate declines in the first quarter of 2015 that have persisted through the second quarter of 2016, in tandem with the more competitive environment in property/casualty commercial lines in general. This conclusion was drawn as part of A.M. Best’s annual report on the state workers’ compensation funds sector. Net premiums written (NPW) within this segment increased for the fifth consecutive year in 2015, growing 2.4% to $8.6 billion, the highest premium level since 2006, according to the report.
Read more and access the report here.