California Insurance Commissioner John Garamendi called last week for a 16.4 percent decrease in workers' compensation insurance rates, but also issued a warning to insurers against using new guidelines to improperly delay or deny medical care, citing rising worker complaints.

Mr. Garamendi, in a nonbinding recommendation, called for the cut in pure premium for policies taking effect on or after July 1. Although only advisory, insurers typically stay in line with the commissioner's recommendations. The most recent decrease, he noted, would bring the total decrease in costs for businesses to 55.1 percent since the first of a series of reforms were enacted in 2003.

"High premium rates, which choked businesses and threatened to drive them from this state, have decreased, although some insurers have been slow to pass on the full savings to all businesses," said Mr. Garamendi. "Costs within the system continue to decrease as well, as has [claims] frequency."