Editorial: Progressive Government
Insurance, Workers' Comp Savings Coming

The Bluefield Daily Telegraph,   May 3, 2005

Savings on insurance rates by West Virginia auto and home policyholders could exceed the predicted $50 million this year, Gov. Joe Manchin said this past weekend.

He told several hundred people attending a Rotary District Conference at Pipestem that two insurance companies have already filed their rate projections with the state and the savings for policy holders with those two firms should be in the neighborhood of $35 million. When the other company's rates are filed, he predicted the number will go over the $50 million he promised lawmakers in exchange for civil justice reform during the regular 2005 session of the state legislature.

During the coming year, Manchin said the reductions in homeowner and auto insurance fees and the announced cutbacks in charges to businesses by the Workers Compensation division will amount to hundreds of millions of dollars in the pockets of
West Virginians .

That's good news considering we are paying more in workers' comp fees and higher insurance costs than our neighboring states for the same - or even less - benefits.

The scheduled privatization of workers comp on the horizon in about two years also is good news because businesses may shop for their insurers similar to what is done in most other states.

While the reductions may initially be small on individual insurance policy or business basis, it's a beginning. And, it's much better than facing higher costs to insure one's home and/or car and to be forced to pay growing workers' comp rates every year.

Gov. Manchin said when he asked representatives of insurance companies to reduce rates in return for civil justice reform he was told, "That's never been done." Obviously he was able to convince them to do what they haven't tried.

It's a major step toward
West Virginia getting into a competitive position with surrounding states in coming years. We have been promised these reductions and we look forward to the savings.

It's time to start looking for them in our insurance bills now - and in Workers' Comp statements in January.

What a difference a few months has made in
West Virginia !