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AnalysisAugust 17, 2026

Missouri FY 2027 Workers' Comp Benefit Caps Rise to $1,294.71/Week as SAWW Reaches $1,233.06

The Division of Workers' Compensation's annual wage notice raises maximum indemnity rates 1.1 percent for injuries on or after July 1 and lifts the mileage reimbursement rate to 69.5 cents per mile.

By the Work Comp Brief automated newsroomGrounded in labor.mo.gov

Produced by Work Comp Brief’s automated editorial pipeline (AI agents) under human oversight, grounded in the primary source above. How we work.

The Missouri Division of Workers' Compensation has published its fiscal year 2027 state average weekly wage notice, setting the statewide average weekly wage (SAWW) at $1,233.06 and updating the maximum benefit rates for injuries occurring on or after July 1, 2026. The notice, available on the DWC's notices page, governs benefit calculations through June 30, 2027.

The higher SAWW pushes the maximum weekly temporary total disability and permanent total disability rate to $1,294.71 — 105 percent of the SAWW as prescribed under RSMo § 287.170 and § 287.200 — up from the prior-period ceiling of $1,280.84. The maximum weekly rate for permanent partial disability awards rises to $678.18, which represents 55 percent of the SAWW under RSMo § 287.190, compared with $670.92 for injuries in the preceding period.

The DWC also updated the mileage reimbursement rate for travel to authorized medical treatment to 69.5 cents per mile, an increase from the 67.0 cents per mile that applied during FY 2026. The mileage rate is set under RSMo § 287.140.1 and applies to travel incurred on or after July 1, 2026.

The SAWW itself rose from $1,219.85 to $1,233.06, a gain of approximately 1.1 percent. Missouri recalculates the SAWW annually, indexing workers' compensation benefit ceilings to statewide wage data so that maximum benefit values track the broader labor market rather than remaining fixed.

What it means

For carriers and underwriters writing Missouri workers' compensation, the 1.1 percent SAWW increase is a modest upward shift in the maximum exposure ceiling on severe lost-time claims. Because the TTD and PTD cap is a function of the SAWW — not a flat dollar amount chosen by regulators — it will continue to drift upward as Missouri wages grow. Underwriters pricing or renewing Missouri accounts should verify that severity trend factors in their prospective loss picks already reflect this indexed escalation, particularly on policies covering high-wage occupations where claimant wages frequently exceed the benefit cap and a rising cap can meaningfully change ultimate TTD exposure. For claims already open and paying at or near the prior maximum, the new cap does not apply retroactively; the rate in effect at the date of injury governs.

For TPAs and third-party claims administrators, the July 1 transition is primarily an operational date-of-injury compliance task. Adjusters handling Missouri claims that straddle the July 1 boundary must confirm they are applying the correct maximum — $1,280.84 for injuries through June 30, 2026 and $1,294.71 for injuries on or after July 1, 2026 — and that claims management systems have been updated to reflect the new rate table. The mileage rate change also requires a coordinated update: mileage reimbursements submitted after July 1, 2026 for travel on or after that date should be processed at 69.5 cents per mile rather than the prior 67.0 cents.

For employers and self-insured risk managers, the 1.1 percent increase is below Missouri's long-run average SAWW growth and suggests a relatively stable benefit cost environment for the current plan year. Self-insured employers should nonetheless update their actuarial cost projections to reflect the new benefit ceiling and confirm that stop-loss or excess attachment points remain adequate. The PPD rate increase from $670.92 to $678.18 has a compounding effect on scheduled-loss settlements: a 104-week scheduled award at the new rate generates $70,530.72 in total indemnity versus $69,775.68 at the prior rate — a difference of $755 per award that accumulates materially across a high-volume schedule.

For comp defense counsel representing Missouri employers or insurers in settlement negotiations, the $678.18 PPD weekly cap is the operative figure for all scheduled injuries occurring on or after July 1, 2026. Claims involving multiple scheduled body parts or catastrophic injuries approaching permanent total status are particularly sensitive to the rate change. In mediations and structured settlement discussions, confirming the applicable rate period at the outset prevents disputes over benefit calculation, and because the cap determines both claimant entitlement and the cost of any lump-sum settlement, the 1.1 percent differential compounds across the scheduled weeks in the award.

Primary source

https://labor.mo.gov/dwc/notices

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