Workers compensation has been a profit juggernaut for the property/casualty insurance industry over the past several years.
A version of this article was originally published in the October Assured Briefing for subscribers to Assured Research reports. The article is being republished by Carrier Management with permission from the author.
Underwriting profits from the workers comp line have accounted for the entirety of the industry’s profits from underwriting over the past decade. If those profits begin to dry up, many companies will feel it.
Executive SummaryThe majority of excess or unnecessary opioid prescribing appears to have been wrung from the workers compensation system, analysts at Assured Research have found, based on an analysis of data from a series of reports from the Workers Compensation Research Institute and industry loss trends. Here, Assured Research President William Wilt reveals the impact that changing prescribing patterns has had on workers comp ratemaking and loss reserve adequacy, advising actuaries to carefully watch prescribing patterns going forward in order to avoid mismatches between their historical experience period and current practices.
A version of this article was originally published in the October Assured Briefing for subscribers to Assured Research reports. The article is being republished by Carrier Management with permission from the author.