News Summary
Florida is looking to lower workers’ compensation insurance rates by 6.9% for 2026, driven by a decrease in lost-time claims. This would mark nine consecutive years of rate declines, promising financial relief for businesses while enhancing care for injured workers. The change is based on data from 2022 and 2023 and follows a recent 1% decrease effective January 1, 2025. As more employers apply for insurance exemptions, Florida’s overall ranking for cost competitiveness has improved, presenting a healthier environment for the state’s workforce.
Florida is poised to see a proposed reduction of 6.9% in workers’ compensation insurance rates for the year 2026, a recommendation that comes from the National Council on Compensation Insurance (NCCI). This proposal is largely driven by a significant decline in lost-time claim frequency, reflecting a healthier overall workers’ compensation system in the state.
The NCCI’s recommendation is based on comprehensive experience data gathered from policy years 2022 and 2023, which was thoroughly assessed at the end of 2024. Such a decrease, if approved by the Florida Insurance Commissioner, would mark the ninth consecutive year of decreasing rates for workers’ compensation insurance in the state.
Under Florida’s no-fault workers’ compensation system, employers are required to provide coverage that ensures injured workers receive necessary care and compensation without the need for litigation. If employees miss more than eight days of work due to a work-related injury, employers are legally obligated to compensate for lost wages.
Currently, the law mandates that most employers in Florida must carry workers’ compensation insurance; however, small businesses with limited employees may be exempt. In a significant development, more than 203,000 employers applied for exemptions from this insurance coverage in 2024.
In terms of cost competitiveness, Florida’s standing has improved. A 2025 review conducted by the Oregon Department of Consumer and Businesses Services placed Florida at No. 30 for workers’ compensation costs among the 50 states, which is an improvement over its previous ranking of No. 28 in 2022.
In addition to the proposed rate decrease for 2026, Florida Insurance Commissioner Mike Yaworsky announced a 1% rate decrease that is set to take effect on January 1, 2025. This continuous reduction of rates highlights the state’s ongoing efforts to maintain a robust and responsive workers’ compensation system.
However, the path to implementing these changes is challenging, as legislative reforms surrounding workers’ compensation rates often encounter intense scrutiny and lobbying from various special interest groups, which may complicate the passage of proposed changes. This pressure can influence the ability of state lawmakers to take decisive action regarding reforms in the workers’ compensation landscape.
Nationally, the 2024 leaders’ survey indicated that some states carry heavier burdens for workers’ compensation costs. Among them, Hawaii, New Jersey, New York, California, and Vermont top the list for the highest rates, underscoring Florida’s progressively improving market position.
Despite pressures and challenges, the continued drop in workers’ compensation rates and the positive trends in claim frequency suggest an encouraging outlook for Florida’s workforce and employers alike. The anticipated reduction not only aims to alleviate financial burdens on businesses but also fortifies the framework that supports workers’ rights and recovery following workplace injuries.
Deeper Dive: News & Info About This Topic
- Miami Times: Workers’ Comp Rates in Florida Expected to Decrease in 2026
- Miami Herald: National News
- Workers Compensation Daily Headlines
- Wikipedia: Workers’ Compensation in Florida
- Insurance Journal: Southeast News
- Encyclopedia Britannica: Workers’ Compensation
Author: STAFF HERE ORLANDO WRITER
ORLANDO STAFF WRITER The ORLANDO STAFF WRITER represents the experienced team at HEREOrlando.com, your go-to source for actionable local news and information in Orlando, Orange County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Orlando International Fringe Theatre Festival, Megacon Orlando, and Central Florida Fair. Our coverage extends to key organizations like the Orlando Economic Partnership and Hispanic Chamber of Commerce Metro Orlando, plus leading businesses in leisure and hospitality that power the local economy such as Walt Disney World Resort, AdventHealth, and Universal Orlando. As part of the broader HERE network, including HEREJacksonville.com, HEREPetersburg.com, HERETallahassee.com, and HERETampa.com, we provide comprehensive, credible insights into Florida's dynamic landscape.
