The state of California Workers Compensation if seeing premium increases for 2012 driven by rate increase which is driving the combined ratio down. The combined ratio for accident year 2012 is 127% which is still above long term historical norms. It is a 9% improvement in the combined ratio over 2011. The lowest combined ratio in the last 13 years was 2006 at 74%. The average rate per $100 of payroll of 2012 was $2.60 vs. in 2006 at 1/1/06 was $3.50 per $100 of payroll. While the combined ratio of 127% is unacceptable to most carriers it is trending in the right direction.
WCIRB Report on Year-End 2012 Insurer Experience Released | WCIRB California.
