Vermont Businesses to See Decrease in Workers' Compensation Insurance for Record Seventh Year in a Row

Montpelier, Vt. – Governor Phil Scott and Department of Financial Regulation (DFR) Commissioner Kevin Gaffney today announced that Vermont businesses will see another rate decrease in workers’ compensation insurance in 2023. This will mark the seventh consecutive year for such cuts. The rate reduction, which takes effect April 1, will save Vermont employers more than $11 million in premiums in 2023.

“Reducing the costs of doing business in Vermont is critical if we hope to attract and retain employers in our state, and this will make a difference,” said Governor Scott. “I want to thank our team at the Department of Financial Regulation for overseeing the rate approval process, ensuring workers are well-protected while their employers obtain the best coverage at the most cost-efficient rates.”

The multi-year decreases reflect the continuing efforts of Vermont employers to maintain safe workplaces and a continued focus by the Department on workers’ compensation insurance. The 2023 rate reduction follows many years of decreasing loss trends: -2.5 percent for indemnity (wage replacement) and -3.0 percent for medical claim costs in 2023. The Department expects the trend of decreasing claim frequency to continue. Vermont employers will pay nearly 47 percent less in workers’ compensation premiums than they did in 2016.

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