Colorado Employers Getting $70 Million in Comp Dividend Checks
"As a customer-centric organization, it's gratifying to return $70 million to our policyholders," said Phil Kalin, Pinnacol Assurance's president and CEO. "These funds represent Pinnacol's effective claims management and handling of customers' premiums, which is reflected in our historically high injured worker and policyholder satisfaction scores."
Pinnacol Assurance, Colorado's leading workers' compensation insurer, announced March 18 that it will distribute general dividend checks totaling $70 million this year to its customers. This is the fourth consecutive year the company has distributed dividend checks and also the fourth consecutive year in which the company has lowered its rates by 10 percent on average.
More than 52,000 employers in the state — approximately 94 percent of Pinnacol's customers — will receive a dividend. Check amounts are calculated based on the customer's premium size and its success with partnering with employees and Pinnacol to keep their workplace safe. The average 2019 dividend check will be $1,328; they will be sent in late March.
"As a customer-centric organization, it's gratifying to return $70 million to our policyholders," said Phil Kalin, Pinnacol's president and CEO. "These funds represent Pinnacol's effective claims management and handling of customers' premiums, which is reflected in our historically high injured worker and policyholder satisfaction scores."
The general dividend is a portion of a mutual insurance company's surplus returned to its eligible customers. Many workers' comp carriers in Colorado are publicly traded companies that pay dividends to their stockholders, but because Pinnacol is required by law to operate as a mutual insurance company, it pays dividends to its customers that earn them through their commitment to workplace safety. Pinnacol has issued a dividend 11 times since 2005, returning more than $500 million in total general dividends to Colorado businesses.