By The Associated Press
OLYMPIA — Starting in January, employers in Washington state face an average 2.7 percent hike in workers’ compensation insurance premiums, the first increase in three years, the state Department of Labor and Industries announced this week.
The rate hike is part of a plan to ensure predictable rates that benchmark against wage inflation, according to L&I.
The agency expects the increase to bring about $55 million in additional premiums next year.
At 2.7 percent, the L&I premium increase is an average for all Washington employers.
Individual employers could see rates go up or down, depending on recent claims and changes in the frequency and cost of claims in their industry.
L&I held public hearings on the proposed rate hike around the state in October. The 2014 rates by industry are at http://tinyurl.com/L-Irates.
Washington is the only state where workers contribute a substantial portion of the premiums. Next year, their share will be about 25 percent.
The state’s industrial insurance system, the seventh-largest in the United States, provides coverage to about 2.5 million workers and more than 160,000 employers.
L&I also oversees workers’ compensation programs that cover an additional 870,000 workers whose employers self-insure.
About 100,000 workers file injury claims with L&I each year.
