Topics: Risk Management Workers' Compensation
It’s simple math that both the insureds and the carriers can agree on. Fewer workers’ compensation insurance claims translates to lower costs, a healthier workforce and a stronger bottom line.
So it’s in both the insureds’ and the carriers’ interests to reduce the frequency and severity of workers’ compensation insurance claims. One way to do that is by coordinating efforts on risk management.
The better workers’ compensation insurance carriers emphasize risk management, and offer a variety of tools to help insureds control their losses. It’s up to the insureds to understand what’s available and take steps toward implementing these resources.
Let’s take a look at what some of these tools offer, so you can get the most bang for your workers’ compensation insurance buck:
Loss control surveys. These are often done by safety professionals assigned by the insurance carrier. They’re in-depth, on-site, consultative evaluations of a workplace that identify uncontrolled hazards and offer suggestions for protecting employees, business assets and insurance policies from loss. Not all sizes of businesses qualify for this assessment as a free service, but nonetheless it’s one worth checking into.
Web-based safety training and educational materials. Carriers may provide technical guidance and general safety and training resources in the form of handouts and safety videos specific to common job functions and workplace situations. The materials are designed to support safety initiatives in place at the insured’s workplace. Examples can range from first aid to slips/trips/falls, burns, lifting, ladder safety, lockout/tagout, driving safety and many others.
Technical loss analysis. For insureds with a history of higher-volume claims, this can include an in-depth study of loss drivers, as well as a comparison of current and past results. The end result would be the identification of cost-reduction opportunities and development of a customized plan of action.
Underwriting support. Having underwriters on staff who are active and engaged in assessing risk can help minimize the potential for problems. An underwriter needs a true picture of the business operation, and loss control accomplishes that most optimally through on-site interviews, walkthroughs of work spaces and detailed reporting forms to accurately evaluate the potential for loss, confirm pricing and provide an overall picture of a risk.
Running a successful business often relies on controlling costs; workers’ compensation insurance costs definitely among them. Always work with an insurance carrier who listens to your needs and can customize its services to help strengthen your financial position and operations.