Delaware’s workers’ compensation insurance rates paid by employers will decrease for the ninth year in a row, effective December 1.
The voluntary private market average loss costs are expected to drop by 11.6%, while the residual market for high-risk b
usinesses that can’t purchase coverage in the voluntary market will see an average rate reduction of 9.08%.
In announcing the rate decision, Insurance Commissioner Trinidad Navarro indicated that there has been “m
eaningful movement” to the voluntary market from the residual market over the last several years.
The announcement follows Navarro’s confirmation of the Delaware Compensation Rating Bureau (DCR
B) filing by independent actuaries and a public hearing with DCRB and the State’s Ratepayer Advocate. Actual savings will vary by policy.
The latest decreases continue a downward pricing trend in the state:
For December 2024, the state approved a voluntary market a
verage loss cost cut of 8.4% and a residual market reduction of 9.21%.
In December 2023, the voluntary market loss costs decreased 7.24%, while residual market rates fell 11.18%.
In December 2022, there was an overall voluntary market decreas
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e of 10.96%, along with revisions to rating values and an overall decrease to residual market rates of 16.14%.
In December 2021, the voluntary market saw an average 20.02% reduction in loss costs and there was a 20.10% decrease in residual market rates.
The 2025 Texas Workers’ Compensation Market Report found that employer participation in the workers’ comp r
eached its highest since 2016, with 87% of employees covered. N
inety-eight insurers represented 335 companies reporting voluntary di
rect premiums written in 2024 – a 10% increase in companies compared to 2023, the report found.
Direct written premium fell 4% in 2024 to $2.6 billion (voluntary
market), making Texas’ workers’ comp system the fifth largest in the U
.S. behind California, New York, Florida and New Jersey.
Texas Mutual accounted for approximately $1 billion of premiums written for a 39.4% market share. Zurich w
as next highest with $148 million, followed by Travelers with $1
40 million and Hartford Fire & Casualty with $134 million.