Workers’ compensation insurance premiums in Tennessee will drop for the 12th consecutive year in 2025, with most businesses benefiting from lower rates starting 1 March, according to the Tennessee Department of Commerce and Insurance (TDCI).
TDCI Commissioner Carter Lawrence approved the 3.6 per cent overall loss cost decrease on 27 December 2024. The change will apply to both new and renewal policies in the voluntary market.
This reduction enables insurers to combine National Council on Compensation Insurance (NCCI) loss cost filings with their own data to determine premiums.
Since 2014, Tennessee employers have benefited significantly from ongoing workers’ compensation reforms.
Commenting on the move, Tennessee Governor Bill Lee says: “We are proud to announce yet another rate decrease for workers’ compensation insurance premiums. Lower premiums allow business owners to have the flexibility they need to re-invest in their companies.”
Commissioner Lawrence adds: “The loss cost reduction can be attributed, in part, to safer workplaces where workers are receiving fewer injuries on the job.
“These reductions indicate a healthier workplace for Tennesseans as they result from decreases in lost time claim frequency and more stable claims costs."
