The Montana State Fund's board of directors has approved an 8 percent reduction to its premium rates for workers' compensation coverage.
The rate reduction is an overall average, and the specific classification codes will vary based on each industry’s loss experience. It will apply to any policy with an effective date from July 1, 2018 to July 1, 2019.
The rate filing will be reviewed by Montana’s insurance commissioner to ensure it is not excessive, inadequate or unfairly discriminatory.
“A rate decrease is good news for Montana businesses who expect and need stable, predictable expenses,” MSF Board Chairman Lance Zanto said in a press release. “It all comes down to workplace safety and keeping injured workers at work. Fewer accidents in the workplace help keep premium levels as low as possible. Lower premium rates means more room on a policyholder’s bottom line and more flexibility for employers to operate their business.”
The public-private organization provides workers' compensation for about 60 percent of employers in Montana, writing 25,826 policies in 2016.