The Effect of Schedule and Experience Rating on Workmen's Compensation Risks in New York

The actuaries and underwriters who have prepared the present classifications and rates in the New York Compensation Manual have failed to take into account a very important factor essential to an accurate formula which may be used as a basis for rate calculation. I am referring to the factor which represents the influence of schedule rating on the ultimate premiums to be collected by the companies from their assured. The New York Compensation manual has now become the basic manual for a number of states where compensation laws have been adopted. This fact enhances the importance of the consideration which should be given to each element of the rate formula. The factor representing schedule rating has been ignored for various reasons enumerated below.