Welcome to Work Comp Wednesdays! Insurance People is the industry-leader in North Carolina workers’ compensation insurance. Each week, our team takes a frequently asked question and expands on the issue for our clients, prospective clients, and community members to better understand the confusing nature of Work Comp.
What does an employer want out of their Workers’ Comp Program? What should an employer expect out of their Workers’ Comp Program?
There are many different aspects to what is considered an effective Workers’ Compensation Program. While not every effective program is going to look the same, each program will share a handful of similar practices. When Insurance People Risk Advisors meet with prospective employers, we begin the discovery conversation by asking, “What do you want out of your Workers’ Comp Program?” We like to ask this to determine the goals of the organization, but we have often found that employers are not quite sure what they want because they do not know what an effective program encompasses. In order to create a roadmap to take back control, we must better define the finish line.
Here are the top five attributes that every employer should expect out of their Workers’ Comp Program:
- Pay the Lowest Possible Cost.
Every employer wants to pay the lowest possible cost for their Workers’ Compensation coverage but not every employer has a roadmap to guide them there. While having low insurance rates is important, employers should focus on reducing workplace injuries to consistently maintain lower costs.
- No (Minimal) Workplace Injuries
Employers can achieve their lowest possible workers’ compensation cost by maintaining zero injuries on their Experience Modification Rating Factor. While organizations should strive for perfection, it is often unrealistic to expect zero injuries year-after-year.
- Understand Workers’ Comp
Workers’ Comp can be confusing and frustrating for many positions within an organization. An effective program needs to be a dynamic approach that involves the CEO, CFO, and Human Resources. Master WorkComp Advisors (MWCA) can educate all stakeholders on the intersection of Work Comp and their individual roles and responsibilities.
- Offer an Attractive Workplace
Healthy workers are happy workers! Litigation is often caused by unhappy/disgruntled employees. Workers want to know they are safe and will be taken care of if they suffer an injury at work. Effective training and education can decrease injuries and improve productivity.
- Take Back Control of Work Comp Program
If you and your agent do not pay closer attention to your Workers’ Comp than any other insurance you buy, you will suffer unnecessary and controllable errors and overcharges. If you need a trained and certified specialist in any area of your insurance program, it is managing the insurance program that affects your employees the most – Workers’ Comp.
Insurance is driven by many different hands and minds. The legal system, governments, bureaus, insurance companies, medical providers, states and more. It is our job to create understanding, bringing light to your insurance program. Therefore, our communication must be human “plain speak,” and most importantly, confusion and frustration free!
If you are interested in setting up a 15-minute Discovery Conversation to better understand the risks facing your organization, please contact an Insurance People Master Work Comp Advisor.