May 12, 2016
Missouri's workers' compensation insurance market strongest since 2009
Director Huff highlights Missouri's competitive workers' compensation market at 2016 National Annual Issues Symposium
Jefferson City, Mo - Missouri's workers' compensation insurance market has grown by 49 companies since 2009. Today, there are 334 active carriers writing and competing for workers' compensation business in Missouri, up from 285 in 2009.
Missouri Department of Insurance Director John M. Huff highlighted the healthy growth to more than 1,000 participants during the National Council on Compensation Council 2016 Annual Issues Symposium (AIS) Friday, May 6. He stressed the importance workers' compensation insurance has on the state's economy and the positive growth Missouri has seen since deregulation in 1994.
"Workers' compensation is a line of insurance that has a uniquely compelling impact to a state's economy," Director Huff said. "As they recovered from the financial crisis, Missouri employers benefitted from an extremely competitive workers' compensation market. Since 2008, overall rates have decreased by 11.6 percent."
Lower rates indicate that companies had fewer claims or claims with smaller payouts. There is also a correlation between rate reduction and improved safety standards. These rates impact small and large businesses in the Show-Me-State since they purchase workers' compensation insurance for their employees.
At the same time, the size of Missouri 's high-risk workers compensation insurance pool has decreased by 66 percent since its creation in 1995. As of year-end 2015, Missouri's high-risk pool had 3,860 policies in force, compared to 11,341 in 1995. A decrease in the size of the high-risk pool is another indicator of the competitiveness of the workers' compensation market.
For more information about Missouri's competitive workers' compensation insurance market visit our workers' compensation page.
About the Missouri Department of Insurance, Financial Institutions & Professional Registration
The Missouri Department of Insurance, Financial Institutions and Professional Registration (DIFP) is responsible for consumer protection through the regulation of financial industries and professionals. The department's seven divisions work to enforce state regulations both efficiently and effectively while encouraging a competitive environment for industries and professions to ensure consumers have access to quality products.