NCCI Insurance Company Review
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Ann Herro has been writing about insurance and employee benefits for over 15 years. She has covered topics as easy as insuring a car, and as difficult as transparency in healthcare costs.
NCCI at a Glance
- The National Council on Compensation Insurance (NCCI) is a national workers’ compensation insurance rating bureau
- It is a non-profit organization owned by insurance companies and provides services to insurers, state governments, insurance agents, regulatory authorities, legislatures, and other parties
- NCCI was founded in 1923 and is headquartered in Boca Raton, Florida
NCCI pros/cons: Not applicable. NCCI is a workers’ compensation ratings bureau. It does not market insurance policies. NCCI administers the Assigned Risk Pool program through private insurance companies in states that do not offer their own state fund workers’ compensation programs, but it is not an insurance company.
To find workers’ compensation insurance in your state, use our national insurance company directory to find the best company to meet your needs. You can locate insurance companies that specialize in your specific coverage needs and get connected to an agent near you.
What Type of Insurance Does NCCI Offer?
The NCCI performs rating and other functions on behalf of insurers in thirty-six states, also called “NCCI states.” Workers’ compensation insurers in these states report their premiums and losses to the NCCI every year. NCCI collects the data, analyzes it, and then uses the results to provide services to insurance companies.
NCCI also administers the Assigned Risk Pool program through private insurance companies in states that do not offer their own state fund workers’ compensation programs.
Here’s how it works.
- Workers’ compensation insurance is required by law for most employers.
- State fund insurance programs help guarantee that all businesses are able to obtain workers’ compensation insurance. State fund insurance coverage works the same way as a private workers’ compensation policy.
- State fund policies are often actually backed by a private carrier, but at a much higher rate.
- State fund insurance is often also referred to as Assigned Risk Plan, Assigned Risk Pools, Residual Market, and carrier of last resort.
- The majority of states operate without a designated state fund managed by the state. Instead, these states utilize NCCI to administer the Assigned Risk Pool program through private insurance companies.
- The Assigned Risk Pool refers to all the private carriers in the state that participate in the placement of state fund insurance. NCCI quotes these policies with licensed insurance agents.
- After the employer provides payment for the policy, NCCI will assign the policy to one of the private insurance companies participating in the pool.
- Most states require private carriers to participate.
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What to Know about NCCI
The National Council on Compensation Insurance (NCCI) is a national workers’ compensation insurance rating bureau. It is a non-profit organization owned by insurance companies, and provides services to insurance companies, state governments, insurance agents, regulatory authorities, legislatures, and other parties.
NCCI was founded in 1923 and is headquartered in Boca Raton, Florida.
The NCCI performs rating and other functions on behalf of insurers in thirty-six states, called NCCI states. Workers' compensation insurance companies in these states report their annual premiums and losses to the NCCI. The organization collects the data, analyzes it, and then uses the results to provide services to insurers.
Using the data it collects, NCCI performs the following services.
- Creates and publishes a uniform classification system
- Calculates rates or loss costs, and makes filings to state regulators
- Creates and publishes an experience rating plan
- Creates an experience rating worksheet for individual employers
- Analyzes costs of proposed and enacted legislation
- Creates and publishes workers' compensation policy forms and endorsements
- Prepares statistical reports
- Conducts research on claims, disability, and other issues related to workers’ compensation
- Provides access to current regulatory information
- Educates insurance industry professionals on matters related to workers' compensation
NCCI also administers the Assigned Risk Pool program through private insurance companies in states that do not offer their own state fund workers’ compensation programs. State fund insurance programs help guarantee that all businesses are able to obtain workers’ compensation insurance.
What Discounts Does NCCI Offer?
Not applicable. NCCI is a workers’ compensation ratings bureau. It does not market insurance policies. NCCI administers the Assigned Risk Pool program through private insurance companies in states that do not offer their own state-fund workers’ compensation programs, but it is not an insurance company.
NCCI Customer Service
Insurance companies and agents can contact NCCI in the following way.
- Call, email, or fax
- NCCI is active on Twitter, Facebook, and LinkedIn
- Phone contact has the following hours restrictions
| Hours (EST) | |||
| Monday-Friday | 8:00 am - 8:00 pm |
NCCI FAQ
What is NCCI’s average claim response time frame?
Not applicable. NCCI is a workers’ compensation ratings bureau. It does not market insurance policies. NCCI administers the Assigned Risk Pool program through private insurance companies in states that do not offer their own state-fund workers’ compensation programs, but it is not an insurance company.
Claims are processed through the assigned insurance company or administrator.
What is NCCI’s customer service availability?
NCCI is available for service by phone, email, or fax. The organization is also active on Twitter, Facebook, and LinkedIn. Phone hours are limited to Monday through Friday, 8:00 am to 8:00 pm EST.
What is NCCI’s claims process?
Not applicable. NCCI is a workers’ compensation ratings bureau. It does not market insurance policies. NCCI administers the Assigned Risk Pool program through private insurance companies in states that do not offer their own state-fund workers’ compensation programs, but it is not an insurance company.
Claims are processed through the assigned insurance company or administrator.
Does NCCI create a user-friendly experience for customers?
NCCI offers a wealth of information and resources on its website for insurance companies and insurance agents and brokers.
Does NCCI have good workers’ compensation insurance?
Employers typically purchase workers' compensation insurance from a voluntary market insurance carrier. But in some cases, employers can’t find an insurance company that will offer workers’ compensation coverage. This may be because the employer has a poor loss experience, the work is inherently dangerous, or because the business or management has little experience in its industry.
When a business cannot find insurance in the voluntary market, it is eligible for an Assigned Risk policy. Since workers' compensation is legally required for most employers in the US, each state must provide access to finding coverage. An Assigned Risk Plan or a competitive state fund ensures that businesses are able to buy workers’ compensation insurance in the state.
Some states establish their own state fund. Other states may create competitive state funds, which write both pool policies and voluntary market policies. But most NCCI states establish Assigned Risk Plans, which are administered through NCCI.
NCCI Assigned Risk coverage must be quoted through a licensed insurance agent. NCCI then assigns the state fund policy to one of the participating insurance companies.
State fund workers’ compensation insurance often costs 15% to 40% more than it would through the voluntary market; it is typically the a last resort for employers who cannot obtain coverage elsewhere.
Assigned Risk programs can also be less flexible than policies purchased in the voluntary market. Often, for example, they can't provide coverage for out-of-state employees, and payment options ay be limited.
Is NCCI a good insurance company?
Not applicable. NCCI is a workers’ compensation ratings bureau. It does not market insurance policies. NCCI administers the Assigned Risk Pool program through private insurance companies in states that do not offer their own state-fund workers’ compensation programs, but it is not an insurance company.
NCCI Customer Reviews
Not applicable. NCCI is a workers’ compensation ratings bureau. It does not market insurance policies. NCCI administers the Assigned Risk Pool program through private insurance companies in states that do not offer their own state-fund workers’ compensation programs, but it is not an insurance company.
TrustedChoice.com's Final Review
A star review is not applicable or appropriate for NCCI. It does not market insurance policies, but it is a highly valuable resource for insurance companies, agents, and brokers.
NCCI also administers the Assigned Risk Pool program through private insurance companies in states that do not offer their own state fund workers’ compensation programs. State fund insurance programs help guarantee that all businesses are able to obtain workers’ compensation insurance.
While NCCI may assign risks to various insurance companies, the coverage, service, claims processing, correspondence, payment plans, and general satisfaction that employers experience are dependent upon the carrier to whom they are assigned.
Your insurance agent or broker can help you understand NCCI’s role in the assisting, administering, and regulating the workers’ compensation insurance industry in the United States.
https://www.ncci.org