Louisiana Workers' Compensation Corporation, the state-created private workers' compensation insurer of last resort, said more than 20,000 policyholders will share in a $45.5 million dividend next month.

Insurance Commissioner Jim Donelon said in a statement that the payments to qualifying policyholders in April signal "another strong year in Louisiana's workers' compensation insurance market. "LWCC continues to contribute to the success of our market by offering a quality product at lower rates to the benefit of policyholders."

LWCC's board of directors declared the dividend for calendar-year 2007, and the insurance department approved it Feb. 26. Last year, LWCC returned a $23.2 million dividend to its qualifying policyholders.

Individual dividend awards, LWCC said, are based on a calculation that takes into account policyholders' premium payments and longevity with LWCC over the last five years.

"LWCC had an extraordinary year in 2007, allowing us to return a sizable dividend to our policyholders," said Kristin W. Wall, LWCC president and chief executive officer.

She added, "The property and casualty industry results in 2007 were very strong, achieving the highest overall profitability since 1988. LWCC benefited from favorable underlying loss trends and underwriting results, like others in the industry, as well as extraordinary investment gains during 2007. We are extremely pleased to be putting dollars back into the pockets of Louisiana businesses to help strengthen our state's economy as we continue the process of rebuilding."

LWCC is a private, nonprofit mutual insurance company created by the Louisiana legislature in 1991. It is the largest writer of workers' compensation insurance in Louisiana.

"This dividend underscores the financial strength of LWCC," said LWCC Chairman Aubrey T. Temple Jr. "We are grateful to our agent partners, who have contributed to our financial success, and to our policyholders, who have joined us in helping to make Louisiana workplaces safer."

LWCC said that, with its latest dividend, it will have paid dividends totaling more than $114 million to its policyholders over five consecutive years and the company has lowered rates by more than 40 percent since beginning operations in 1992.

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Louisiana Workers' Comp Corp Declares $45M Dividend

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