California has shown signs of tightening, with rate increases flat at +5%. New York state-mandated price cuts have squeezed profitability, and some airlines are reducing capacity or withdrawing from certain classes entirely. Massachusetts, despite not being a large workers’ comp market, has driven rates so low that “carriers are saying, we can’t be profitable, so we’re not going to carry in the state,” Palmer said. Illinois is also seeing worsening trends, with rising damage costs and political pressure on pricing.
