Gulfshore Insurance > Gulfshore Blog > Workers' Compensation > Client Alert: Work Comp Changes Effective January 1st

The Florida Office of Insurance Regulation (FLOIR) recently announced two changes that will impact workers’ compensation policies as of January 1, 2020.

Workers’ Compensation Rate Decrease Approved
FLOIR recently announced the approval of an average 7.5% rate decrease for employers, effective January 1, 2020. The rate decrease applies to workers’ compensation policies as they are issued or renewed on or after that date. Please note: The 7.5% decrease is an average rate change across all industry types. The rate change for your specific workers’ compensation policy may be different. Click here for a comprehensive list of the new rates by classification.

1% Surcharge for 2020 Florida Workers’ Compensation Policies
Starting January 1, 2020, new and renewal Florida workers’ compensation policies with effective dates beginning January 1, 2020, through December 31, 2020, will have a 1% surcharge to help provide a safety net for the state’s injured employees.

The Florida Workers’ Compensation Insurance Guaranty Association (FWCIGA) pays the claims of injured employees if an insurance carrier becomes insolvent. The Florida Office of Insurance Regulation approved the 1% surcharge to help FWCIGA resolve claims arising from the November 2017 insolvency of Guarantee Insurance Company. All carriers are required to bill and collect the 1% surcharge and remit directly to the FWCIGA.

If you have any questions or concerns regarding this information, please contact us. We are here to assist you and happy to answer any questions you have.