Keating opposes increase in workers comp rates

Journal Record, The (Oklahoma City), Sep 28, 1999 by Ron Jenkins Associated Press

OKLAHOMA CITY -- Gov. Frank Keating sided Monday with opponents of an increase in workers compensation insurance rates.

"There is simply no reason for an increase in workers compensation rates," Keating told reporters.

His comment came a day before a scheduled meeting of the state Board for Property and Casualty Rates on an insurance industry request for a 5.6 percent rate increase.

Keating said the climate created during his administration justified a rate decrease, not an increase.

Among other things, he cited improvements in workplace safety and the appointment of "fact-based judges" that have led to a decline in worker awards.

He said he would write a letter opposing the rate increase that would be delivered to the ratemaking board.

The Republican governor has just returned from an economic development in Europe, but said he was aware of urgings from Democratic senators to support the rate cut.

Keating used the occasion to lash out at Democrats for opposing some of his workers compenstation reforms during the last legislative session, singling out Sen. Brad Henry, D-Shawnee.

Among other things, Keating has pushed for curbing payments for so- called "strain and sprain" injuries.

Henry was out of town and unavailable for comment.

Prior to Keating's remarks, the governor's office prepared a two- page news release during which the governor accused Democrats of "a shell game" by opposing his reforms while pushing for rate cuts the past several years.

"There shouldn't even be any discussion on the possibility of raising workers' compensation rates," the governor said.

Sen. Bruce Price, D-Hinton, called last week for Keating to use his "bully pulpit" in support of a rate cut.

"After reading his statement, I'm still not sure whether he supports a rate reduction for business or a rate increase for the insurance industry," Price said of Keating's news release.

John Cox, Keating's press secretary, said there was no conflict in the release and Keating's comments to reporters.

"He's for a rate cut," Cox said. "His point is we need reform along with a rate cut."

An independent actuary hired by the Senate said improved market conditions justify a 2.7 percent decrease in work comp rates instead of a hefty increase sought by the National Council on Independent Insurance.