Membership
The WCRA provides statutory reinsurance coverage above a member’s selected retention limit. The WCRA annually determines a coverage rate for each of the four retention levels. To determine the rates, the WCRA first projects its total losses and expenses for each retention level during the coming year. The WCRA divides the projected costs for each retention level by the projected total exposures for the coming year.
Annual Rate = Projected Losses and Expenses to be Paid for the Year รท Projected Exposure for the Year