Each year the WCRA charges annual premiums to its members for workers' compensation reinsurance coverage.  The Board of Directors determines the premium rates based upon actuarial anaylses of the liability and associated expenses for the upcoming year.  Premiums are calculated on the basis of a member's liability exposure (exposure base) and the reinsurance rate that corresponds to the retention level selected by the member.

August 15 - September 13

Self-insurer members provide experience rating loss data for the experience modification calculation by the WCRA for use in the upcoming coverage year. Data must be received by September 13.

Experience Rating

September

The WCRA Board of Directors approves rates and retentions for the upcoming coverage year.

The Commissioner of the Minnesota Department of Labor and Industry reviews and approves the WCRA rate filing.

WCRA Rate Development Process Overview

October 1

Reinsurance renewal information is sent to WCRA members, including the Retention Selection Form with which members can confirm or change the level of reinsurance coverage for the upcoming coverage year.

View or download WCRA Retentions, Prefunded Limits, and Approved Rates

December 1

Retention Selection Forms must be postmarked no later than December 1. Forms postmarked later than December 1 will not be considered valid and a company's prior year retention level will apply to the next calendar year.

December 20

Reinsurance certificates and agreements mailed to members.

January

Reinsurance renewal notices mailed to members.

January - April

Self-insurer members provide payroll reports to the WCRA for the previous coverage year in order to allow the revision of their reinsurance premiums from estimated to actual.

February - May

Insurer members provide annual financial call information for the previous calendar year to the WCRA. The WCRA also receives copies of annual financial call information from the MWCIA. This data is used to support the revision of reinsurance premium from estimated to actual.

Self-insurer Hybrid members provide payroll reports to the WCRA for the previous two coverage years. This data is used to support the revision of reinsurance premium from estimated to actual.

Premium billing and payment options

June 1

The WCRA completes calculations of annual adjustments. Premium notices are sent to members.