A majority of Arkansas employers will pay less for workers' compensation insurance. Governor Asa Hutchinson announced the National Council on Compensation Insurance recommended a reduction of 15.4% for the voluntary market and 14.9% for the assigned-risk pool, and said the Insurance Commissioner accepted the recommendation yesterday.

The reductions come amid a decrease in the number of work-related injuries over the past two years.

“Arkansas companies already pay the lowest premium for workers’ compensation insurance of any state in the country,” Gov. Hutchinson said. “This cut in costs leaves more money in employers’ pockets, which means it is now less expensive to do business in Arkansas.”

The decreases take effect July 1.

“The significant rate reduction shows that policies in Arkansas are making it a welcome place for business and new employment opportunities,” Arkansas Insurance Commissioenr Allen Kerr said. “It is important to also thank our state’s employers and workers who mind workplace safety to keep costs low and help our state remain competitive.”

Kerr noted the new costs reflect only industry average wages and will have varying impacts on workers’ comp rates when individual risk factors are applied for each business.