Actuary_Report_8.31.21_Final.pdf

This document is an actuarial report prepared by Gary R. Abramson of Casualty Actuarial Services for the City of Scranton's Workers' Compensation self-insurance program, dated September 30, 2021. The report provides a comprehensive analysis of the city's workers' compensation self-insurance program as of August 31, 2021, evaluating outstanding losses, loss development factors, and projected expenditures for the 2022 calendar year. The analysis covers historical loss experience, estimated ultimate losses for various accident periods, and includes detailed exhibits showing claims data, payroll trends, and financial projections using methodologies aligned with the Pennsylvania Bureau of Workers' Compensation guidelines.

The report highlights key financial insights, including a total discounted outstanding losses of $15,918,519 as of August 31, 2021, which represents a decrease of approximately $557,000 from the prior analysis. The projected annual expenditures for the 2022 calendar year are anticipated to be $3,013,363, which includes estimated claims payments, administrative expenses, and trust fund operating costs. The analysis indicates improvements in the city's loss development patterns, with a decrease in outstanding reserves and a slight reduction in the expected ultimate losses. The report also notes that the city's loss experience has been positively impacted by a four-tenths point increase in the discount rate and improvements in claims management strategies.