With regard to statistical plans, insurers and statistical agents can code the rating flexibility in the Nebraska law as schedule rating, even though the name may not be absolutely correct. Insurers are perfectly free to fill out something like a schedule rating worksheet if they want, but it is not a requirement and insurers will not be criticized if they do not. The reason for this is that we didn't want to burden insurers with the need to refile many pages. In the future, however, we will look at filings as they are made to be sure that such newly filed pages no longer have references to schedule rating. Another area that has generated many questions is workers' compensation.
Some extra stipulations apply to workers' compensation rate deregulation, however.
An ECP's workers' compensation rates may be credited or debited as if schedule rating applies, like it does in many states, except that there are no percentage limitations and no need to fill out schedule rating worksheets. Statistically, it will be treated like a schedule credit or debit. Restrictions that apply are that the classifications must be accurately applied, just like any other workers' compensation policy, accurate payrolls must be used, and the policy must be subject to an audit with the audited payrolls used to determine the final premiums. The reason for these stipulations is to ensure data quality for ratemaking and experience rating purposes. Insurer groups may have a different LCM in each of their members.