Payroll inflation factor to increase Jan. 1
Voluntary market policies will be renewed with a 5% payroll inflation factor.
Effective January 1, voluntary market policies will be renewed with a 5% payroll inflation factor. The inflation factor increases payroll to account for expected wage growth and is based on historical average payroll growth for SAIF policyholders and Oregon economic data. The pandemic and ensuing economic recession had a significant impact on payroll for many businesses in Oregon, so SAIF reduced the inflation factor to 0% starting in June 2020.
Our agency partners play a critical role in ensuring that we have accurate payroll estimates so premium can be calculated and charged correctly on our installment billing plans. If you provide us with estimated payroll figures, we will use that information and override the inflation factor. This will also stop re-estimates based on audited payroll received after the policy term begins.
NOTE: The payroll inflation factor does not apply to Assigned Risk policies.