“Great, kid! Don’t get cocky!”

“Great, kid! Don’t get cocky!”

~Han Solo, Star Wars: Episode IV – A New Hope

The NCCI just released their State of the Line Report which highlights the strength of the workers’ compensation system in 2020. Although job losses and pandemic-shrinking payroll caused a 10% drop in written premiums, reserves and loss ratios remained strong.

This white paper is filled with informative graphs and charts including the following system-wide COVID-19 related data.

COVID-19 Loss Summary

$260 million in total losses

45,000 claims

75% of claims are lost-time

$6,000 average claims severity

Excluding COVID-19 Claims

Claim frequency declined 7%

Indemnity severity increased 3%

Average cost of lost-time medical basically unchanged

Looking beyond the favorable statistics, the experts express concerns about the future, including:

Will premiums recover?

How will long-haul COVID claimants recover?

What are potential mental health exposures from the pandemic?

Is ever-expanding presumption legislation the new normal?

So, the industry is okay, but doing better requires all of us to not get cocky.

Call us. We can do better.

William Faris, JD
Chief Executive Officer
502-495-5040
william.faris@omca.biz
www.omca.biz

Posted in News