Media Release
Claudia Ciolfi
IWIF Communications
410-494-2193

cciolfi@iwif.com

IWIF cuts rates 5%, significant decreases for key industries

(TOWSON, MD) – The board of directors for IWIF Workers’ Compensation Insurance has approved a 5% overall reduction in base rates predicated on an annual rate analysis performed by Deloitte and Touche, an independent, consulting actuary. Furthermore, sixteen industries will receive dramatic rate cuts. The rate changes are based on IWIF’s historical data and actuarial principles. They will be effective as of January 1, 2008.

As reported by IWIF, these reductions are driven largely by a continued decline in claims frequency that has dropped approximately 10% over the past two years. IWIF claims the primary driver has been its persistent focus on fostering a safety culture in the workplace. IWIF has successfully introduced safety programs, and policyholders have adopted them and other initiatives that have yielded safer working conditions for employees.

“As the market leader in workers’ compensation insurance in Maryland, I believe these rate changes are appropriate and will benefit our customers as well as strengthen the business economy in the state,” says Tom Phelan, President and CEO. “I am pleased with our rates and with the continued decline in the number of injured workers in Maryland. Our slogan, ‘Safety Saves with IWIF,’ is more than just words; it has real, tangible effects.”

Rial Simons, Chief Actuary, indicated that these pricing initiatives will allow IWIF to continue to generate a reasonable revenue, while at the same time, keep workers’ compensation insurance equitable, available and affordable to all Maryland businesses.

Established in 1914, IWIF is a fully self-supporting insurance company that operates solely from premium and investment income. IWIF’s assets and reserves total $1.5 billion.