Despite the current trends in business, Gov. Andrew Cuomo and his administration has officially rejected a request to raise the premiums of workers compensation by the insurance industry. The request asked for a raise up to 11.5%. Rather, the governor is seeking the first reduction in premium rates since 2008.
The increase in premiums for workers compensation was first proposed to start in October 2012 and would have had a direct effect on New York businesses who are already struggling. A reform in 2007 under then-governor Eliot Spitzer and fellow leaders was meant to regain control of the costs of workers compensation. That reform increased injured worker benefits but did not effectively control costs, hurting businesses even further.
The recent step by Governor Cuomo is moving workers compensation in the right direction but the Workers’ Compensation Board still has to increase the efficiency off the protocols put in place for certain types of worker injuries.