Work Comp Premium Written Surprises for 2014
The total work comp premium written for 2014 increased 5.6% over 2013 to $46.8 billion according to AM Best. These figures were part of the Top 25 Workers Comp carriers for 2014 report issued annually.
Two carriers doubled their net premiums written (NPW):
- Great American increased its NPW by approximately 103%.
- AmTrust came in at 95.5% over 2014
I am not sure why the two carriers decided to increase their NPW so dramatically. Could this have resulted from picking up insureds from Liberty and other carriers which wrote less premium than in 2013?
As expected with an announcement earlier this year Liberty Mutual decreased its NPW by over 27%. This may be due to a more selective renewal process.
Two state funds that only write domestically (in their own state) ranked in the top 10.
- The State Compensation Insurance Fund (SCIF) now ranks 7th. SCIF increased its NPW by 37.3%. One has to wonder does this mean a start to another WC insurance crisis in California. The crisis situation is not likely to reoccur soon. In the 1990’s SCIF was the #1 ranked carrier in size.
- Texas Mutual came in 8th with a steady but not significant increase in premiums.
Colorado’s Pinnacol increased its NPW by over 18%. The trend of state-based domestic carriers significantly increasing NPW will be have to be monitored closely.
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