Residual Market Management Summary 2016

Posted Date: June 16, 2017
    

The National Council on Compensation Insurance’s (NCCI) Residual Market Management Summary 2016 (PDF) is the best source for obtaining facts and figures about the workers compensation residual market plans and reinsurance pools that NCCI services.

In 2016, we had another successful year based on all the key metrics used to evaluate the workers compensation residual markets managed by NCCI. This marks the fourth year in a row where the residual market premium, market share, and operating results have remained stable—a notable achievement given the potential for volatility in the residual markets. Highlights include:

  • Projected ultimate residual market written premium for Policy Year 2016 is $1.1 billion
  • The residual market share of the overall workers compensation market is down to 7.7% in 2016 from 8.1% in 2015
  • The $71 million estimated 2016 operating deficit is higher than the 2015 estimated deficit but is still only –0.5% of voluntary workers compensation premium
  • Customer satisfaction is high