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NCCI NCRB New Mod Calculation Presentation This Week


My Upcoming Mod Calculation Presentation

The NCCI NCRB new Mod calculation are the subject of my upcoming presentation.

Picture Of Man Working Mod Calculation On Table

I will be presenting on Tuesday March 5th for the Charlotte Association of Insurance Professionals  on the new E-Mod (Experience Modification Factor) calculation.   All North Carolina Workers Compensation policies that are renewed after 4/1/2013 will see these changes.

I had written on the possible implications of the new Mod calculations last year.   The new circulation letter concerning E-mod changes from the North Carolina Rate Bureau is contained below.

November 8, 2011
Re: Workers Compensation Insurance
NCCI Item E-1402 – Experience Rating Plan Changes

The North Carolina Rate Bureau recently filed and the North Carolina Commissioner of Insurance
approved changes to NCCI’s Experience Rating Plan Manual for Workers Compensation and
Employers Liability Insurance based on information shown in the above referenced NCCI item
filing. A copy of this filing is attached.

Woman Working Mod Calculation On Shop

The Experience Rating Plan changes are designed to:

1. Update the Primary/Excess Split point; 
2. Revise the Maximum Debit Modification formula; and
3. Revise NCCI’s Experience Rating Plan Manual for Workers Compensation and
Employers Liability Insurance.

The proposal would update the Primary/Excess Split point to $10,000 as of April 1, 2013, to $13,500
as of April 1, 2014, and to an increased, indexed value as of April 1, 2015. An increase in this split
point will make the Experience Rating Plan more responsive to small losses.

The Maximum Debit Modification formula would change, allowing even the smallest experience rated
risks to have a maximum debit modification of 1.10 compared to the 1.00 that applies today.
The attached Informational Exhibits provide preliminary details regarding the nature of these changes.
For the purpose of comparison, North Carolina’s G value as of 4/1/2012 is 9.95 (or equivalently, a
State Average Claim Cost or SACC of $9,950).

Additional information, including details on required changes to rating variables, will be included with
the respective rate filings.

Contact the Information Center at 919-582-1056 or via email at [email protected], if you require
additional information
Sue Taylor
Director of Insurance Operations

©J&L Risk Management Inc Copyright Notice



James J Moore - Workers Comp Expert

Raleigh, NC, United States

About The Author...

James founded a Workers’ Compensation consulting firm, J&L Risk Management Consultants, Inc. in 1996. J&L’s mission is to reduce our clients’ Workers Compensation premiums by using time-tested techniques. J&L’s claims, premium, reserve and Experience Mod reviews have saved employers over $9.8 million in earned premiums over the last three years. J&L has saved numerous companies from bankruptcy proceedings as a result of insurance overpayments.

James has over 27 years of experience in insurance claims, audit, and underwriting, specializing in Workers’ Compensation. He has supervised, and managed the administration of Workers’ Compensation claims, and underwriting in over 45 states. His professional experience includes being the Director of Risk Management for the North Carolina School Boards Association. He created a very successful Workers’ Compensation Injury Rehabilitation Unit for school personnel.

James’s educational background, which centered on computer technology, culminated in earning a Masters of Business Administration (MBA); an Associate in Claims designation (AIC); and an Associate in Risk Management designation (ARM). He is a Chartered Financial Consultant (ChFC) and a licensed financial advisor. The NC Department of Insurance has certified him as an insurance instructor. He also possesses a Bachelors’ Degree in Actuarial Science.

LexisNexis has twice recognized his blog as one of the Top 25 Blogs on Workers’ Compensation. J&L has been listed in AM Best’s Preferred Providers Directory for Insurance Experts – Workers Compensation for over eight years. He recently won the prestigious Baucom Shine Lifetime Achievement Award for his volunteer contributions to the area of risk management and safety. James was recently named as an instructor for the prestigious Insurance Academy.

James is on the Board of Directors and Treasurer of the North Carolina Mid-State Safety Council. He has published two manuals on Workers’ Compensation and three different claims processing manuals. He has also written and has been quoted in numerous articles on reducing Workers’ Compensation costs for public and private employers. James publishes a weekly newsletter with 7,000 readers.

He currently possess press credentials and am invited to various national Workers Compensation conferences as a reporter.

James’s articles or interviews on Workers’ Compensation have appeared in the following publications or websites:

  • Risk and Insurance Management Society (RIMS)
  • Entrepreneur Magazine
  • Bloomberg Business News
  • WorkCompCentral.com
  • Claims Magazine
  • Risk & Insurance Magazine
  • Insurance Journal
  • Workers Compensation.com
  • LinkedIn, Twitter, Facebook and other social media sites
  • Various trade publications


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