Florida firms to get $9.4 million in workers' comp refunds

By Palm Beach Business.com

TALLAHASSEE – Florida’s Office of Insurance Regulations has ordered 16 workers' compensation insurance companies to return more than $9.4 million in excessive profits to their customers.

Workers' compensation insurers are required to return excess profits under Florida law. OIR evaluated data the companies submitted including earned premiums and incurred losses. Regulators determined that 16 different workers' comp insurance providers realized excess profits in 2005, 2006 and 2007.

"These results confirm the importance of the workers' compensation insurance reforms enacted by the Florida Legislature in 2003, which continue to yield positive results," Insurance Commissioner Kevin McCarty said.  "These premium refunds contribute to lowering costs for Florida businesses and in contributing to our state’s future economic growth."

The 16 companies that have been ordered to return premiums include:

• American Interstate Insurance Co. ($867,843).
• Florists' Insurance Group ($83,131).
• Guard Insurance Group ($835,474).
• Hanover Insurance Group ($6,140).
• Harco National Insurance Co. ($4,530).
• Indiana Lumbermen's Mutual Insurance Co. ($913).
• the Liberty Mutual Insurance Companies ($1,071,841).
• MAG Mutual Insurance Co. ($132,618).
• Memic Indemnity, Co. ($17,097).
• One Beacon Insurance Group ($733,028).
• Safety National Group ($136,512).
• St. Paul Travelers Group ($5,291,320),.
• State Auto Mutual Group ($11,293),
• Transguard Insurance Company of America ($187,118).
• Ullico Casualty Co. ($29,927).
• Westfield Companies ($12,859).

The companies have 60 days from the date of the order to return the premiums or provide policy renewal credits to policyholders.