Tennessee Workers’ Comp Rates Will Decline for Eleventh Consecutive Year in 2024

Monday, January 22, 2024 | 01:33pm

NASHVILLE -- The Tennessee Department of Commerce and Insurance (TDCI) announces that workers’ compensation insurance premiums will decline for most Tennessee businesses in 2024 for the 11th consecutive year.

 “The continued insurance premium decrease bolsters Tennessee’s pro-business climate and keeps our economy strong,” said Governor Bill Lee. “Lowered premiums mean business owners have the opportunity to re-invest in their companies and better serve their employees, and I thank the Department of Commerce and Insurance for its work to serve Tennesseans.”

On December 30, 2023, TDCI Commissioner Carter Lawrence signed the order approving a 9.4% percent overall loss cost decrease for the voluntary market beginning March 1, 2024 on new and renewal policies.

A copy of the order can be found here. Insurance carriers combine the National Council on Compensation Insurance (“NCCI”) loss cost filings with company experience and expenses to develop insurance rates.

“Tennessee’s workforce will benefit from these loss cost reductions because they are the result of decreases in lost time claim frequency and more stable claims costs,” said Commissioner Lawrence.

Since Tennessee’s workers’ compensation system reforms began in 2014, Tennessee employers have seen substantial savings with these loss cost reductions. Tennessee employers have also reported fewer significant workplace injuries, which have contributed to the reduction in loss costs.