Connecticut Workers' Compensation Costs Will Fall
Proposed rate decreases will lower insurance costs for business owners throughout Connecticut starting in 2027.
Updated on Sept. 30, 2026 in Insurance
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The National Council on Compensation Insurance has proposed a 4.9 percent decrease in voluntary loss costs and a 5.8 percent reduction in assigned risk rates for 2027. If approved by state regulators, these changes will take effect on January 1, 2027.
Why it matters
These adjustments reflect a continuing trend that could lower operational expenses for Connecticut employers who provide workers' compensation coverage. Costs in the state have trended downward for thirteen consecutive years.
Proposed voluntary loss costs show a 4.9 percent decrease, following a 3.8 percent drop in 2026. Assigned risk rates are also set for a 5.8 percent decline, a notable change from the 0.4 percent reduction seen in the prior year.
The players
National Council on Compensation Insurance
An organization that gathers data and files loss costs and rates for workers' compensation insurance providers.
Connecticut Insurance Department
The state agency responsible for overseeing insurance industry filings and protecting consumer interests.
The details
The National Council on Compensation Insurance submitted these proposed rate adjustments to the Connecticut Insurance Department on behalf of insurers. These loss costs serve as a baseline for premiums that businesses pay to cover employees in the event of workplace injuries. Should the department approve the filing, the lower rates will be applied to new and renewal policies starting January 1, 2027.
Timeline
September 30, 2026: The commissioner opened a 30-day public comment period.
October 30, 2026: The public comment period concludes.
January 1, 2027: Proposed rates take effect if approved.
Money Landscape
This proposal aligns with a thirteen-year streak of declining workers' compensation costs across Connecticut. The move underscores a prolonged period of downward pressure on insurance premiums within the state's commercial market.
Business owners in Connecticut should monitor these rate changes, as they may impact their premium costs for workers' compensation starting in 2027. Discuss how these potential adjustments affect your specific coverage and policy renewals with a qualified professional.
The takeaway
Interested parties can submit feedback on the proposed rate changes to the state by emailing cid.pc@ct.gov before the comment period ends on October 30, 2026. Business owners should review their insurance renewal timelines to see how these potential savings might affect their budget for the coming year.
Further reading
For more information on how state insurance regulations affect your business, visit Insurance.
Source note: This article includes information reported by Insurance Journal.
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