SAIF Corporation has announced that the new discount for HBA members insured in the HBA group program, for the year beginning July 1, 2009, would be 9%. This is a significant increase from the 5% discount offered last year, and will save HBA members many thousands of dollars on workers compensation insurance with SAIF.
The discount offered to HBA members insured with SAIF is calculated annually by the National Council on Compensation Insurance (NCCI). The calculation determines, based on previous years’ data, an estimate of how much safer companies who join the HBA are expected to be.
The use of discount plans for groups like the HBA was approved by the Oregon Department of Consumer and Business Services (DCBS) in 1993. The process links group discounts to the actual performance of the group. The DCBS reviewed NCCI’s calculations of the HBA discount and approved the new 9% discount in May, 2009.
Oregon insurance rules require that policyholders be members of the HBA to receive the discount. If membership in the HBA lapses, SAIF must remove the group discount immediately. The rules also only permit the discount to be added at policy inception. So companies removed from the discount program can only become re-eligible at the next SAIF policy renewal.
In addition to HBA membership, there are other requirements to qualify for the group discount, including a minimum premium size and a record of safety.
HBA members, working together, and working safely, have earned a significant discount for the coming year. For questions about the SAIF Oregon Group Supplemental Experience Rating Plan (OGSERP) for HBA members, contact Jeff DeHaan, President of Montgomery & Graham Property & Casualty—a Benefits Partner of the HBA of Metropolitan Portland at jdehaan(at)mg-pc(dot)com or at 971-327-5793.