Posted by Debbi Kuhne on Tue, May 18, 2010 @ 09:45 AM
Still paying small medical only Workers' Comp claims? You could be wasting your construction firm's hard-earned money!
Years ago, you were advised to pay your small medical only Connecticut Workers' Compensation injuries. This idea, and potential savings changed in 1998 when significant changes were made to NCCI's calculation process of the Experience Mod. One major one was that the total amount incurred on medical only claims would be reduced by 70% when entered into your mod calculation! So, if these claims only go into your calculation at 30% of the dollars incurred, why are you still paying the bills?
Simply put, if you have an injured worker who incurs a $500.00 bill at the local occupational health clinic, you are billed and would pay the full $500.00. That same bill, if processed through your insurance carrier, would be reduced by the fee schedules agreed upon between the carriers and the providers and would probably end up being $350.00. When that claim is entered into your mod calculation it is included at $105.00 (reduced by 70%). So you would have paid $500 for a claim that would be included in your mod at $105.00! Where's your savings?
The dollars you are spending on paying the small medical only claims would be much more beneficial if you invested them in ways that truly would help reduce your experience mod and save you premium dollars. Invest them in training, additional safety measures, create modified duty programs for injured construction workers with restrictions and get them back to work.
Are you one of the many Connecticut contractors with workers compensation issues? Don't hesitate to call the contractor insurance experts at Construction Risk Advisors. Whether your question is as easy as "how should I pay this claim?" or as complicated as figuring out if your payroll was calculated correctly for that Contractor Controlled Insurance Program you were enrolled in, we have the answers and expertise to get you back on track!
Posted by Debbi Kuhne on Thu, May 06, 2010 @ 12:51 PM
We've all heard of it - light duty, modified duty, restricted duty, and transitional duty. Regardless of what you call it, you have an injured worker who can't do their regular job and the claim adjuster is asking you to bring them back to work!
Employers and HR personnel struggle with this daily, and it seems construction companies usually have the most difficulty in developing jobs within the worker's restrictions. So should you even bother to try? The answer is absolutely Yes!
First and foremost it has been proven that keeping an injured construction worker in their normal routine (getting up, going to work, etc) helps in the recovery process. Next is the fact that by providing modified duty work you are sending the message to employees that having a work related injury does not automatically result in time off from the job. Finally, by bringing the injured worker back it is helping to reduce the claim costs and thus have a more positive effect on your experience mod.
It's a good idea to have pre-developed modified duties or jobs. We all have things we would like to accomplish, if we only had some extra time. Start keeping a running list of these and you have started your modified duty list!
So the next time the adjuster asks if you have modified duty available, don't sigh and roll your eyes - pull out your list, say yes and get that employee back to work!
Need help developing a Return to Work program for your construction firm? We can help! There are other options than just having your injured worker counting paperclips and shredding paper. Get in touch with one of the Construction Risk Advisors and we can guide you as well as help prevent the injury in the first place!
Posted by Robert Phelan on Wed, Apr 28, 2010 @ 12:38 PM
Would Massey Energy have lost twenty-nine workers in a mining accident on April 5th if safety training was a strong cultural value? Would Toyota have recalled 2.3 million vehicles in January of 2010 if safety was of paramount concern in the design of their cars?
I think the answer to both these questions is, "No". These companies were not focused on safety and it cost people their lives.
Google either one of these safety disasters and you'll get tired of hitting the "Next" button after the 10th page. In the short run, and maybe forever, both these companies have seriously tarnished their image. The public thinks company profit was more important than human lives. Who wants to be known for that?
Connecticut Contractors of all types are involved in dangerous work every day. If there was an unfortunate disaster on one of your jobsites, would your safety training practices stand up to the scrutiny of the press? How much would your reputation suffer? How long would you be on OSHA's "hit list"? How well would you be able to document your company's safety practices?
Unfortunately, many Connecticut construction firms don't consider safety training in their strategic plans. Nor do they consider the safety training capabilities of the insurance agent or insurance company they choose each year. Far too often the focus is on price and risk management is ignored.
Who is protecting your company's reputation? Risk management is not about buying cheap insurance. If you have an insurance agent whose only focus is selling you cheap insurance, you've hired the wrong one. Don't wait to see your name in the paper before getting a risk advisor who helps make safety your highest priority.