Proposed Rate Filing: Frequently Asked Questions...
If you have a general question about "Proposed Rate Filing" that is not answered here, please submit it to us and we will gladly get back to you with an answer.
How will the rate filing affect my premium?
We've had a lot of questions about this. Let's imagine that you are an electrical contractor. First the basics:
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Class code: 5190-ELECTRICAL WIRING—WITHIN BUILDINGS & DRIVERS
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Current rate as of January 01, 2016 $5.25 per $100. of Payroll
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Example of $100,000 in Annual Premium
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(Payroll x Rate = Premium) (there's more to the final calculation, but for the sake of simplicity, let's stick with this)
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Curent Base Premium Calculation: 100,000 x 5.25% = $5,250
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If the insurance commissioner passes the entire proposed rate increase of 19.6%,:
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Proposed rate on October 01, 2016 ($5.25 x 1.19%) or $6.25 per $100. of Payroll
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Proposed Base Premium Calculation: 100,000 x 6.25% = $6,250 (an increase of $1,000. annually.