May 4, 2011 - Actuarial Committee Update

Posted Date: May 4, 2011
    

Industry InformationNCCI Actuarial Committee

The Actuarial Committee met on Wednesday, May 4, 2011. The major topics covered at this meeting included:

  • Employers Liability Increased Limits (ACT-11-06)
    Staff presented the results of an analysis of NCCI's approach for calculating the employers liability (EL) increased limits percentages currently published in NCCI's Basic Manual. Based on its analysis, NCCI plans to make a countrywide filing in the second half of 2011 with a proposed effective date of January 1, 2013.    
  • NCCI Classification System and Basic Manual (ACT-11-07)
    NCCI conducts inspections in all NCCI states to ensure that the classification system is being used appropriately. Additionally, NCCI conducts research and reviews the Basic Manual to ensure that the rules and infrastructure remain in tune with the current regulatory landscape. Staff presented results observed regarding the most reclassified class codes as well as current research and issues regarding Rules 1 and 2 of the Basic Manual.    
  • Differences in Medical and Indemnity Cost Trends (ACT-11-09)
    Staff presented its analysis of indemnity versus medical loss costs trends. The presentation included comparisons for frequency and severity, including the components of severity, which are price, mix, and quantity.

Please refer to the minutes of the meeting for any pertinent discussion on each topic. The presentation for each of the listed topics is contained in either the agenda or minutes for the meeting as indicated below.

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May 4, 2011 Agenda (PDF)

  • NCCI Classification System and Basic Manual (ACT-11-07)

May 4, 2011 Minutes (PDF)

  • Employers Liability Increased Limits (ACT-11-06)
  • Differences in Medical and Indemnity Cost Trends (ACT-11-09)