Oregon Proposes 2.1% Increase in Workers’ Compensation Rates for 2027
• The Oregon Department of Consumer and Business Services has proposed a 2.1% increase in the pure premium rate for workers’ compensation coverage in
• This adjustment will raise the average cost from 89 cents to 92 cents per $100 of payroll, making it the second-lowest rate on record. The increase is attributed to Senate Bill 1519, passed in 2026, which modified wage compensation benefits for workers with disabling claims. Effective January 1, 2027, temporary total disability benefits will be adjusted based on the state average weekly wage, benefiting lower-wage earners.
Impact & Risks
The proposed rate increase will affect employers across Oregon, with individual impacts varying by industry. While the adjustment aims to enhance benefits for injured workers, it may lead to higher operational costs for businesses. Employers should prepare for potential financial implications as they renew their policies for 2027.
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