Massachusetts Worker’s Compensation Rate Change
Effective July 1, 2020
The Commissioner of Insurance has approved a revision of workers’ compensation rates, effective July 1, 2020, applicable to policies that are new or renew on or after that date. The most important items include:
- RATE LEVEL DECREASE OF 6.8%
The overall average decrease of 6.8% in the existing workers’ compensation average rates will vary by class. The average percentage change for Construction Class manual rates is a decrease of 7.8%. A listing of the revised Massachusetts manual rates for the most common construction classifications is enclosed. - EXPERIENCE RATING PLAN CHANGES
The Experience Rating Plan Expected Loss Rates, D-Ratios, Weight and Ballast Tables, State Per Claim Accident Limitation (SPCAL) and the State Multiple Claim Accident Limitation (SMCAL) will be revised. The SPCAL will be increased to $300,000 from $250,000 and SMCAL will be $600,000 up from $500,000. - F – CLASSES – OVERALL RATE LEVEL DECREASE OF 9.9%
The overall average decrease of 9.9% in the existing workers’ compensation F- Class average rates will vary by class. - USL&HW ACT COVERAGE PERCENTAGE APPLICABLE TO NON-F CLASSIFICATIONS
The loading percentage applicable to USL&HW will be reduced from 22.6% to 21.0%. (Multiply a Non-F classification rate by a factor of 1.226 to determine the total rate) Note, you must have USL&HW coverage added to your Workers Compensation policy by separate endorsement for coverage to apply. - SMALL DEDUCTIBLE CREDITS
The premium credits applicable to the election of small deductibles under either the Massachusetts Benefits Deductible Program or the Massachusetts Benefits Claim and Aggregate Deductible Program will be revised slightly downward. - NO CHANGES IN THE FOLLOWING:
- Expense Constants
- Loss Constants
- Admiralty Law and Federal Employers’ Liability Act classifications
- Merit Rating Program
- Massachusetts Construction Classification Premium Adjustment Program (“MCCPAP”)
- Premium Discount Tables A and B
Experience ratings and ARAP factors (including replacement of preliminary experience ratings and ARAP factors) effective July 1, 2020 and subsequent will be issued in due course using the new rating values.
MCCPAP Factors effective July 1, 2020 and subsequent will be revised in due course using the revised experience rating offset.
Please let us know if you have any questions.
Very truly yours,
DeSanctis Insurance Agency, Inc.
| WORK CLASSIFICATIONS | CODE | 7/1/18 Rates | 7/1/20 Rates | % CHG. '18 to '20 |
|---|---|---|---|---|
| ASBESTOS REMOVAL OPS: PIPE AND BOILER EXCLUSIVELY & DR | 5472 | 8.75 | 7.50 | -14.3% |
| ASBESTOS REMOVAL OP: ASBESTOS CONTRCTR-NOC & DR | 5473 | 10.55 | 9.31 | -11.8% |
| AUTOMATIC SPRINKLER INSTALLATION & DR | 5188 | 4.32 | 3.65 | -15.5% |
| BOILER INSTALLATION & REPAIR-STEAM | 3726 | 8.41 | 6.22 | -26.0% |
| BUILDING - OPERATIONS BY CONTRACTOR | 9014 | 2.28 | 2.01 | -11.8% |
| BUILDING - OPERATIONS BY OWNER OR LESSEE | 9015 | 2.89 | 2.70 | -6.6% |
| BUILDING MATERIALS DEALER - NEW A/O EES, YARD, WHRSE & DR | 8232 | 5.81 | 5.10 | -12.2% |
| CARPENTRY - NOC | 5403 | 7.64 | 7.77 | 1.7% |
| CARPENTRY -CABINET WORK, INTERIOR TRIM, FINISHED WOOD FLOORS | 5437 | 4.49 | 3.84 | -14.5% |
| CARPENTRY/DWLGS. 3 STORIES OR LESS | 5645 | 7.10 | 6.35 | -10.6% |
| CEILING INSTALLATION-SUSPENDED GRID TYPE | 5020 | 4.22 | 4.06 | -3.8% |
| CLERICAL OFFICE EMPLOYEEES NOC | 8810 | 0.07 | 0.06 | -14.3% |
| CONCRETE CONST.-BRIDGES AND CULVERTS | 5222 | 8.58 | 9.21 | 7.3% |
| CONCRETE CONSTRUCTION-NOC | 5213 | 11.97 | 10.42 | -12.9% |
| CONCRETE -PRIVATE RESIDENCES -NO MONOLITHIC CONCRETE BLDG | 5215 | 4.33 | 3.76 | -13.2% |
| CONCRETE WORK, FLOORS, DRIVES, YDS, WALKS & DR | 5221 | 6.97 | 6.12 | -12.2% |
| CONDUIT CONSTRUCTION FOR CABLES OR WIRES & DRIVERS | 6325 | 3.41 | 2.56 | -24.9% |
| CONTRACTOR EXECUTIVE SUPERVISOR | 5606 | 1.47 | 1.22 | -17.0% |
| CONTRACTORS PERMANENT YARD | 8227 | 4.79 | 4.26 | -11.1% |
| DOOR -DOOR FRAME OR SASH ERECTION-METAL OR METAL COVERED | 5102 | 6.12 | 6.12 | 0.0% |
| DOOR -SASH OR ASSEMBLED MILLWORK DEALER& DR | 8235 | 3.84 | 3.56 | -7.3% |
| DRILLING-NOC & DRIVERS | 6204 | 5.85 | 4.79 | -18.1% |
| ELECTRIC LIGHT OR POWER LINE CONSTRUCTION & DR | 7538 | 6.09 | 5.83 | -4.3% |
| ELECTRICAL WIRING - WITHIN BUILDINGS & DRIVERS | 5190 | 2.17 | 2.05 | -5.5% |
| ELEVATOR ERECTION OR REPAIR | 5160 | 2.75 | 2.27 | -17.5% |
| EXCAVATION, GRADING, OR ROCK BLASTING SPECIALIST & DRIVERS | 6217 | 4.03 | 3.96 | -1.7% |
| FENCE ERECTION - ALL TYPES | 6400 | 4.71 | 4.42 | -6.2% |
| GAS MAIN OR CONNECTION CONSTRUCTION & DRIVERS | 6319 | 3.55 | 2.81 | -20.8% |
| GLAZIER-AWAY FROM SHOP & DRIVERS | 5462 | 6.18 | 5.19 | -16.0% |
| INSULATION WORK - NOC & DRIVERS | 5479 | 6.92 | 5.12 | -26.0% |
| IRON OR STEEL ERECTION - ORNAMENTAL, NON-STRUCTURAL & SASH | 5102 | 6.12 | 6.12 | 0.0% |
| IRON OR STEEL ERECTION-FRAME STRUCTURES, BALCONIES, FIRE ESCAPES | 5040 | 24.00 | 19.85 | -17.3% |
| IRON OR STEEL METAL BRIDGES | 5040 | 24.00 | 19.85 | -17.3% |
| IRON ORSTEEL ERECTION - NOC | 5057 | 21.61 | 20.97 | -3.0% |
| IRON/STEEL ERECTION-FRAME STRUCTURES | 5059 | 16.69 | 18.13 | 8.6% |
| IRRIGATION OR DRAINAGE SYSTEM CONSTRUCTION & DRIVERA | 6229 | 3.77 | 3.56 | -5.6% |
| LANDSCAPE GARDENING & DRIVERS | 0042 | 3.55 | 3.14 | -11.5% |
| LATHING & DRIVERS | 5443 | 3.24 | 3.29 | 1.5% |
| MASONRY - NOC | 5022 | 9.60 | 8.93 | -7.0% |
| MILLWRIGHT, MACHINERY OR EQUIPMENT ERECTION OR REPAIR NOC & DR | 3724 | 5.08 | 4.60 | -9.4% |
| PAINTING METAL BRIDGES, AND METAL STRUCTURES >2 STORIES, SHOP OPS & DR | 5037 | 16.87 | 15.33 | -9.1% |
| PAINTING OR PAPERHANGING NOC & SHOP OPERATIONS & DRIVERS | 5474 | 4.25 | 3.71 | -12.7% |
| PILE DRIVING & DRIVERS | 6003 | 9.15 | 7.82 | -14.5% |
| PLASTERING NOC & DRIVERS | 5480 | 4.04 | 4.38 | 8.4% |
| PLUMBING - NOC & DRIVERS | 5183 | 2.93 | 2.82 | -3.8% |
| ROOFING - BUILT UP INCLUDING YARD EMP & DRIVERS | 5547 | 11.44 | 10.00 | -12.6% |
| ROOFING - NOC & YARD EMP, DRIVERS | 5545 | 35.68 | 37.71 | 5.7% |
| SALESPERSONS, COLLECTORS OR MESSENGERS -OUTSIDE | 8742 | 0.12 | 0.10 | -16.7% |
| SEWER CONSTRUCTION - ALL OPERATIONS & DRIVERS | 6306 | 8.09 | 6.71 | -17.1% |
| SHEETMETAL WORK - SHOP & OUTSIDE -NOC & DRIVERS | 5538 | 3.82 | 3.89 | 1.8% |
| ST. OR RD. CONSTRUCTION: ROCK EXCAVATION & DRIVERS | 5508 | 4.51 | 3.75 | -16.9% |
| STREET CLEANING AND DRIVERS | 9402 | 3.92 | 3.61 | -7.9% |
| STREET OR ROAD CONSTRUCTION - PAVING OR REPAVING & DRIVERS | 5506 | 5.20 | 4.33 | -16.7% |
| STREET OR ROAD CONSTRUCTION - SUB SURFACE WORK & DRIVERS | 5507 | 5.60 | 5.20 | -7.1% |
| TILE - CERAMIC, STONE, MOSAIC OR TERRAZZO WORK - INSIDE | 5348 | 4.15 | 3.85 | -7.2% |
| TRUCKING: NOC - ALL EMP & DRIVERS | 7219 | 8.41 | 7.58 | -9.9% |
| WALLBOARD INSTALLATION WITHIN BUILDINGS & DRIVERS | 5445 | 6.08 | 5.60 | -7.9% |
| WATER OR GAS MAIN OR CONNECTION CONSTRUCTION & DRIVERS | 6319 | 3.55 | 2.81 | -20.8% |
| WELDING OR CUTTING - NOC & DRIVERS | 3365 | 5.73 | 4.43 | -22.7% |
| WRECKING: BUILDINGS OR STRUCTURES -NOT MARINE ALL OPERATIONS | 5701 | 22.00 | 18.63 | -15.3% |
