OSI News:

SANTA FE — The New Mexico Office of Superintendent of Insurance (OSI) has approved a 5.5 percent decrease in loss costs for Workers’ Compensation for policies renewing or issued on or after Jan. 1, 2022.

Due in large part to the continuing decrease in claim frequency, which reflects the commitment to safety on the part of New Mexico employers, loss costs are decreasing for the seventh year in a row.

“After two years of employers facing challenges related to COVID, it was important for us to approve these cost reductions. These lower rates will help a large number of employers save money, which they can use to reinvest in their businesses,” Superintendent of Insurance Russell Toal said.

Loss costs are used by insurance carriers to set Workers’ Compensation rates. They comprise the portion of the total rate that is used to pay the claims and claims adjustment expenses of the injured workers covered by Workers Compensation insurance. Average rate changes will vary by industry group.