Policyholders Receive Their Dividends

FUBA Workers’ Comp is proud to continue our long-standing history of returning dividends to our members.  We are paying close to $1 million in dividend distributions to qualifying Fund members for the 2007/2008 Fund Year.  Agencies should have received their listing of insureds that are receiving a distribution and checks have been mailed to qualifying policyholders.

In order to qualify for a dividend for the 2007/2008 year, a Fund member had to be active at the close of the 2007/2008 Fund Year, with an earned premium of at least $5,000, a loss ratio of less than 40%, and a cumulative three year loss ratio of less than 70%.  Some members will receive as much as 20% of their premium back!  In addition, members had to satisfy prompt premium payment and audit requirements.

Please note:

1. Policyholders with outstanding balances may have their dividend forfeited if those balances are not addressed in a timely manner.
2. Insureds that are on a consent to rate or consent to premium policy are not eligible for a dividend.

Do You Know the Basics of Workers’ Compensation?

• Do you know which businesses are required to carry workers’ compensation insurance?
• Does it make a difference if they are engaged in the construction industry or not?
• Is the registration of a fictitious name the same as incorporating a business entity for workers’ compensation purposes?
• Do exemptions expire?

If some of these questions had you scratching your head, it may be time for a little Work Comp 101.  To brush up on the basics, download Key Information Relating to the Workers' Compensation Exemption that the Division of Workers’ Compensation is including with their exemption renewal notices.  You may find it helpful to pass along to your clients too.

Also, the Division is offering business owners and employers another round of free classes on the requirements of Florida’s workers’ compensation laws.  Click here for the upcoming schedule.

Reminder: New Work Comp Rates Effective 1/1/09

Just a reminder that new workers’ compensation rates will become effective on January 1st for all new and renewal policies.  The new rates represent an average 18.6% decrease from the 2007 rates, the 6th consecutive rate decrease since the 2003 legislative reforms of the workers’ compensation system.  For more information on rates or class codes, please call our offices at 888-262-4483.

However, due to a recent decision by the Florida Supreme Court involving attorney fees in workers’ comp cases, NCCI has proposed a rate increase of 8.9% that would be effective March 1, 2009.  NCCI estimates the full impact of this court decision will raise rates by 18.6% over the next 2 years.  The Florida Office of Insurance Regulation is currently reviewing the proposed rate increase, and at this point it is unclear what the rate increase will be for 2009 and whether it will apply retroactively to all policies in effect on 1/1/09.  A decision is expected in mid-January.  For more information on the Supreme Court case and its possible effect on workers’ comp rates, click here.

This percentage only addresses the expected increase in Florida workers’ compensation system costs for accidents occurring on or after March 1, 2009.  However, the Supreme Court’s decision is also expected to increase overall system costs in the state for accidents occurring prior to March 1, 2009, that have not yet been settled.  Because workers’ compensation ratemaking is prospective only, insurers will not be able to recoup premium to cover such unforeseen increases in system costs.  Therefore, NCCI expects a significant unfunded liability will be created due to the retroactive impact of the court decision.  NCCI estimates this unfunded liability at potentially up to $400 million.  The Court’s decision will also impact employers’ loss ratios, as additional attorney fees are paid on open claims that were subject to the lower premium rates.

FUBA Who's Who

Amy Everheart

Amy Everheart has been with FUBA Workers’ Comp for only 3 years, but we all feel as if we have known her forever.  If Amy is your Underwriter, you know what we mean.  With her warm smile and infectious laughter, Amy is right at home no matter where she is. Born and raised in Tallahassee, Amy had a background in insurance long before she got to FUBA.  After moving to Atlanta, she worked at Aon Specialty Re, an intermediary between reinsurance and insurance companies. Her desire to be closer to family and friends prompted her to return to Florida where she worked for Citizens Property Insurance before coming to FUBA.  Her experience in our Policy Services Department made her transition to Underwriter even easier and provides her department with invaluable experience. Amy and her husband, Darra, have two children, Austin, 11, and Jessica, 7. The family is constantly on the go with Austin’s football, baseball and basketball practices and Jessica’s cheerleading competitions, they barely have enough time left over for anything else.  When they do catch a moment, you can find them making time to travel for quick trips to nearby get-aways like St. George or Mexico Beaches. Traveling some with Jim Harrison, the Marketing/Sales Rep she’s paired with, Amy has been able to visit a number of the agencies in her region.  “My territory has the greatest people in it, and I can’t wait to meet even more of them in the upcoming year,” Amy says. “And I LOVE my job,” she tells us. “The people at FUBA are fun and supportive.”  We feel the same about Amy.

FUBA Fact

Florida’s Minimum Wage Going Up Again January 1st