Last month, Paradigm Outcomes attended the 2016 Annual Issues Symposium hosted by the National Council on Compensation Insurance (NCCI) in Orlando, Florida. The event offered workers’ compensation carriers and reinsurers an overview of the industry through research and insider perspectives.

Industry Change

NCCI President and CEO Bill Donnell, CPCU, set the tone for the event in his presentation, “Channeling Change: Meeting the Challenges of an Evolving Market,” when he said the word for 2016 is “transforming.”  His organization was asked to review more than 100 law changes in 2015.

Financial Indicators

NCCI’s Chief Actuary Kathy Antonello reported on the latest trends, cost drivers and broad economic markers within the workers’ compensation industry. Here are a few highlights:

• Net written premiums were up 3.3% in 2015 for the entire property and casualty industry (2.9% for workers’ compensation)
• Net written workers’ compensation premium was $39.7B in 2015 (excludes state funds)
• Net combined ratio was 94% for workers’ compensation, the lowest it’s been in decades
• NCCI estimated a $7B loss and LAE net reserve deficiencies
• Prescription costs continued to rise more than 25% from 2011-2014

More Coverage

Here are three articles to help you benefit from the shared expertise in case you missed the symposium.

• Workers’ Comp Insurers Thriving Despite Industry Changes: Business Insurance Associate Editor Stephanie Goldberg reported a positive view of the industry from the event.

• NCCI State of the Line: ‘Transforming’ WC Industry Presenting New Challenges: WorkCompWire posted this press release from NCCI sharing highlights from its annual State of the Line workers’ compensation market analysis, which provided insight into the trends, cost drivers and the new developments shaping the industry.

• NCCI Annual Issues Symposium—2016: IRMI’s senior research analyst, Christine Fuge, shared information from several of the presentations and workshops.

NCCI studies the workers’ compensation system. Paradigm Outcomes provides superior clinical and financial outcomes for catastrophic injuries and complex pain conditions on behalf of the industry’s largest carriers, state funds and self-insured employers. For more business and clinical news, connect with us on Facebook, Twitter and LinkedIn, or visit our website.