In an attempt to combat rising costs of living and doing business in New York, state governor Kathy Hochul has announced certain countermeasures to assist businesses and employees. The state has been gradually taking steps in the past few years, such as a reduction in the employer assessment rate and enhanced workplace safety measures (preventing many worker compensation claims before they happen).

The state has implemented new policies in 2026 to further prevent rising business costs. Specifically:

- A 22% reduction in workers’ compensation insurers premium rates. This translates to approximately  $1,779 for savings per covered life for businesses in the state.

- The streamlining of employee access to medical care through the consolidation of cumbersome medical forms, introduction of permanent telehealth regulations, and the optimization of dispute resolutions procedures.

- The New York State Insurance Fund had provided an estimated $700 million in relief to businesses between dividends and discount programs.

New York State will apply the 22% rate reduction on October 1, 2026. The medical streamlining is still in its early phases. You can read the updates HERE.