The National Council on Compensation Insurance (NCCI), an organization that seeks to foster a healthy workers’ compensation system, has announced the release of its performance metrics for the US workers’ compensation system in 2021.
Private carrier plus state fund net written premium increased about 1% to $43 billion in 2021. Private carrier premium alone was $38 billion. Private carriers posted a profitable combined ratio of 87% for the year. 2021 was the fifth consecutive year with a combined ratio below 90% for the workers’ compensation insurance market and the eighth consecutive year of underwriting profitability.
“The strength and resilience of the workers’ compensation system is a point of pride for all stakeholders,” said Bill Donnell, president and CEO of NCCI. “As the workforce and workplaces are changing, the industry must step up again to fulfill its noble responsibility: helping injured workers.”
Learn in this worker's compensation settlement chart the average payout for different injuries.
“Strong employment and significant wage growth are fueling workers’ compensation payroll increases,” said Donna Glenn, NCCI chief actuary. “We have a remarkably strong and healthy system right now.”
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Additional findings of the NCCI’s report include:
