JEFFERSON CITY, Mo. – The Missouri Department of Commerce and Insurance (DCI) announces employers should see a reduction in workers’ compensation rates for the fourth year in a row, according to preliminary figures collected by DCI from the National Council on Compensation Insurance (NCCI). The NCCI recently proposed an overall decrease of 5.3 percent for 2025 workers’ compensation loss costs.

The 5.3 percent decrease in loss costs between Jan. 1, 2024 and Jan. 1, 2025 is driven by data collected on an annual basis showing a decline in average indemnity and medical costs per lost time claim.

“Missouri businesses will be pleased to hear that on average, workers’ compensation rates should decrease for the fourth year in a row,” said Chlora Lindley-Myers, Director of the Missouri Department of Commerce and Insurance. “It’s a testament to Missouri’s employers for continuing to make safety improvements in the workplace to protect their teams. A robust market with over 300 insurers actively competing for business in the workers’ compensation market gives businesses plenty of choices. I encourage Missouri’s employers to take advantage of this and shop around for the best rates.”

DCI provides an online rate checker to assist employers with comparison shopping.

Workers' compensation was mandated in Missouri by state law in 1925. It is a "no-fault" insurance system that pays benefits to workers injured on the job to cover medical care, part of lost wages, and permanent disability. In return, employers receive immunity from civil lawsuits by employees over such workplace injuries.

Employers meet their workers' compensation obligation by purchasing insurance or becoming a state-certified self-insurer. DCI reviews and approves workers' compensation insurance policy forms and rules. The department also monitors workers' compensation market competitiveness and oversees the "assigned risk pool" to ensure fair rates and good service.

The NCCI’s proposed average changes in loss costs by industry group are shown below:

Manufacturing: -3.2%

Contracting: -6.2%

Office and Clerical: -6.8%

Goods and Services: -5.3%

Miscellaneous: -5.4%

The NCCI’s 2025 loss cost filing and the department’s independent actuarial review are available on DCI’s website.

The Division of Workers' Compensation of the Missouri Department of Labor and Industrial Relations oversees the day-to-day operation of the workers’ compensation system. To learn more, visit the Workers’ Compensation FAQs website.

DCI is charged with protecting Missouri consumers through oversight of the insurance industry, banks, credit unions, utilities, and various professional licensees operating in the state. For more information about the department, please visit our website at dci.mo.gov.