Workers Compensation Rates Continue to Decline, Saving Connecticut Businesses Money

By Garnet McLaughlin

December 5 @ 10:45 am

Credit: AndreyPopov / Canva

Connecticut businesses will see another decrease in their workers compensation rates for 2025. This reduction, announced by Gov. Ned Lamont’s administration in November, follows an 11-year trend of declining rates.

The state Insurance Department approved a worker’s compensation rate filing for next year that includes a decrease of 6.1% to the voluntary market loss costs and a reduction of 6.2% in assigned risk plan rates. Connecticut has seen a continued decrease in claims surrounding workplace injuries, which lends to steadily decreasing rates, the agency said.

Sen. Jorge Cabrera, a Hamden Democrat who co-chairs the legislature’s Insurance and Real Estate Committee, lauded the reduction in workers compensation rate as great news for Connecticut’s business community.

“Employers can continue to ensure their workplaces are safe and their employees are healthy at reasonable rates that protect their bottom line,” Cabrera said. “With the 2025 Legislative Session ahead, I am eager to continue to build upon our work to support business here in Connecticut.”

The new rates will result in cost savings for Connecticut employers, continuing to make Connecticut a more business-friendly environment across all sectors, industries, and business sizes.

In a press release, state Insurance Commissioner Andrew N. Mais said the ongoing decline of workers compensation rates coupled with a drop in workplace injuries had saved Connecticut employers more than $400 million in reduced premiums.

“Workers’ compensation insurance is critical so workers can know they are protected as they work to support their families, and for business owners to help care for the health, well-being, and safety of their employees,” Mais said.

This news comes on top of a November announcement that Connecticut employers will not see an unemployment tax increase in 2025, thanks to the state’s decision to repay all 2024 borrowing under the Unemployment Trust Fund. Stabilizing the fund has saved employers millions of dollars in taxes and special assessments in the last few years.

Read the Department’s official approval and filing here.