For a third year in a row, Wisconsin contractors will see a decline on average in the rates they pay to provide workers’ compensation coverage.
The latest decrease, which will take effect on Oct. 1, will reduce contractors’ workers’ comp rates by 7.63 on average. It follows on two other reductions, the first of which lowered contractors’ workers’ comp rates by 5.1 percent on average in 2016 and the second which lowered them by 8.28 percent on average in 2017.
Almost all employers in Wisconsin are required to pay for workers’ comp coverage. Although workers’ comp rates have been falling on average, the actual rates being paid still vary from company to company.
Companies in more dangerous parts of a particular industry – say the roofing segment of the construction industry – will generally pay higher premiums than others. And individual companies with poor safety records – no matter what part of the industry they are in – will pay more.
This year, the average decrease coming to contractors is greater than the average decrease that’s in store for all employers regardless of industry. Employers regardless of industry will see their workers’ comp rates decrease by 6.03 percent on average starting on Oct. 1. That change is expected to result in $134 million worth of savings, according to a statement Wednesday by the state Department of Workforce Development.Follow @TDR_WLJDan