The board of directors of the Workers Compensation Fund of Utah, the state's largest provider of workers compensation coverage, has declared a $4 million dividend to be split among eligible policyholders.
Board chairman Jed Pitcher, who is also president of Blue Cross and Blue Shield of Utah, said the fund generated an $8.1 million net income based on $89 million in revenues in 1989. Dividends will be paid before Sept. 30.Fund president Blaine Palmer said of the 18,500 policyholders insured for all of 1989, approximately 15,900 will receive the dividend.
"Not all policyholders will qualify as the dividend is designed to reward those of our customers with the best safety records," said Palmer.
The $8.1 million net income represents a substantial increase from 1988. Officials attribute the increase to setting premium prices to reflect individual policyholders' claims history, a favorable investment climate, cost containment activities and overall growth in the Utah economy.