How to Save Money on Workers Compensation, part 2

By loyHR Tips, Workers Comp

See part 1

The cost of doing business continues to rise, so reducing costs associated with Workers’ Compensation is a great help to many organizations.  This is part 2 of a two-part series on “Understanding and Controlling Workers Comp Costs”, a presentation by Liza Moran , VP Pinnacle Brokers Insurance Solutions.  I have added additional comments on how HRSource and HRnetSource users can use the system to support these cost-saving strategies.

 

  1. Determine if a FIRST AID PROGRAM fits your organization (ideal for minor cuts, bruises and burns). Train employees and supervisors on how to address minor incidents appropriately.  Have a relationship with your medical providers so they are aware of your First Aid Program.

 

  1. Encourage IMMEDIATE reporting. A 2009 Zenith Countrywide report shows that costs increased with a lag in reporting of injuries.  Furthermore, late reporting increased the chances of litigation.  In other words, the longer it takes to report an injury, the more likely it may lead to litigation and the increased costs associated with that.
  2. Get to know your key provider/s within your medical network and establish a positive profile about your company. Meet regularly with the medical provider and let them know about your:
  3. First Aid Policy
  4. Return-to-work Philosophy and Program
  5. Job Descriptions with Functionality
  6. Other best practices, such as morning warm-ups, regular stretches, posters fostering a healthy lifestyle, etc.)

Draw on their expertise.  Have them suggest preventive ideas, such as stretch breaks, ideas to eliminate repetitive motion/duties, etc.

  1. Have proactive communications throughout the organization. Take advantage of many opportunities to communicate.  For example, train all supervisors on the process of how to and to whom to report claims.  Post the “Notice to Employees – Injuries Caused by Work”.  When someone is hired, include information in his or her New Hire Packet, including the process of how to and to whom to report claims.  Finally, at the time of the injury make sure you report the injury to the carrier with a complete packet.

 

  1. Ask your broker and carrier about FREE SERVICES that they provide. Examples might be:  IIPP (Injury and Illness Prevention Program) Resources, Training Classes, Safety Videos, Tailgate Topics, Ergonomics Analysis (is that chair too low and causing shoulder pain?), Trips and Falls Prevention.  Work with your broker and carrier to find FREE RESOURCES for proactive communication such as a Safety Newsletter or an Internal Safety Alert  that fosters a culture of accident/injury PREVENTION.
  2. Make sure your documentation and tracking is accurate, detailed and complete. Track your POLICY LOSS RUNS and CLAIM STATUS REPORTS.   Analyze the data and discuss with your broker/carrier.  Draw on their experience to help you find ways to reduce costs.

 

How HRSource can help

Use HRSource to track work-related injuries and illnesses.  The data can be analyzed to help identify injury and illness patterns. Having this information will help focus company attention and resources on fixing problems.  Your OSHA 300 reports as well as the Supervisor’s First Report can be generated in HRSource (just point and click on the desired report).