Each winter we see weather related work injuries that could have been prevented - click "view our blog" to continue. Here are some useful tips that can be implemented in your company or organization:
Ice melt and sand products. We suggest purchasing these products in bulk prior to the first snowfall. Always have adequate supply and the equipment and means to safely apply it (wheelbarrow, spreader, shovel)
Employee parking. Injuries that occur once an employee has arrived at work, or as they are leaving are usually compensable under workers compensation. We suggest that the parking area and sidewalks be kept clear of ice and snow before employees arrive, during the work shifts, up until everyone has left.
Snow shoveling. Often an employee is assigned this task. The biggest concerns are slip-and-fall back strain and heart attack. Don’t wait for the snow to build up. Shovel early and often! Here is how to shovel properly:
• Lift with your legs, not your back. Bend your knees and keep your back as straight as possible so that the lifting comes from your leg muscles, not your back. Never bend at the waist. Step in the direction that you're throwing snow. This will help prevent the lower back from twisting and will help alleviate any back soreness that you might typically experience the day after a hard shoveling job.
• Create some distance between the hands. This will give you more leverage and make it easier to lift snow.
• Pick up smaller loads of snow. It's best to shovel by sections. If you're shoveling deep snow (a foot or more), take it easy and shovel two or three inches off at a time.
• Do push. Don't lift. Save your back and your energy by simply pushing the snow to the side instead of lifting the snow and throwing it off to the side.
Snowblower safety. A good alternative to shoveling, there are also risks with snowblowing. Always have a mature, qualified person perform this task.
Clearing snow and ice from roof. Use only an employee who is experienced and capable of safely performing this task, and has the proper tools and materials. Otherwise, hire a company that performs this work.
Winter driving. If your employees are on the road, its an excellent time to conduct retraining on all safe driving techniques. Emphasize clearing all snow and ice from vehicle, defensive driving in difficult weather and increased stopping distances. Always have winter survival gear on board. Texting is the latest major cause of accidents and the company safety policy should specifically prohibit this while a vehicle is moving.
Monday, November 7, 2011
Thursday, October 20, 2011
Wrap Up Insurance Policies Need Special Attention
Construction companies that work under "wrap up" insurance arrangements (OCIPS and CCIPS) should carefully examine the Wrap Up Insurance Manual before submitting their bid. The coverage, rules, procedures and method of calculating insurance cost are all included in the manual, and often vary from job to job (click to continue reading).
Before the documents are submitted with estimated payroll and insurance costs, they should be reviewed by an insurance professional that is highly experienced in this type of insurance plan. Many contractors and sub-contractors have lost money on wrap up jobs because of incorrect and excessive insurance cost.
Did you know that workers compensation losses on wrap up jobs are included in your company's experience mod? That is true - and they are sometimes misstated causing an unnecessary increase in the mod.
Please contact us at The Insurance Advisory in Needham, MA with any questions you may have about wrap up insurance policies. send e-mail
See our website for more valuable information.
Before the documents are submitted with estimated payroll and insurance costs, they should be reviewed by an insurance professional that is highly experienced in this type of insurance plan. Many contractors and sub-contractors have lost money on wrap up jobs because of incorrect and excessive insurance cost.
Did you know that workers compensation losses on wrap up jobs are included in your company's experience mod? That is true - and they are sometimes misstated causing an unnecessary increase in the mod.
Please contact us at The Insurance Advisory in Needham, MA with any questions you may have about wrap up insurance policies. send e-mail
See our website for more valuable information.
Monday, November 15, 2010
Expereince Rating Corrections
Do you believe your company's experience rating is unfairly high based on the number and severity of claims? You are not alone. Many employers share your concerns and many calculations are wrong!
The experience rating (sometimes called experience modification factor, mod, x-mod or e-mod) and Massachusetts ARAP* can increase the cost of workers compensation insurance by as much as half again, or even double the normal premium - click "view our blog" to read on.
In more than 65% of the cases we have reviewed, the policyholder has been overcharged on audit for either an incorrect mod or another mistake or miscalculation.
"Trust but verify." The insurance carrier is not trying to cheat policyholders. But they will charge the highest available premium and uncertainties will usually resolve in their favor. The carrier will use whatever mod that was issued by the rating bureau (national (NCCI) or state rating authority). The carrier does not check for its accuracy.
It is always a good idea to have an independent qualified insurance professional review the past few years for mistakes and overcharges.
*ARAP (all risk adjustment program) is a second modifier used for experience rated policies in Massachusetts that are over 1.00. The normal experience rating is multiplied by the ARAP to arrive at the effective premium modification. For example, if the mod is 1.27 and the ARAP is 1.18, the effective modification is 1.50.
The experience rating (sometimes called experience modification factor, mod, x-mod or e-mod) and Massachusetts ARAP* can increase the cost of workers compensation insurance by as much as half again, or even double the normal premium - click "view our blog" to read on.
In more than 65% of the cases we have reviewed, the policyholder has been overcharged on audit for either an incorrect mod or another mistake or miscalculation.
"Trust but verify." The insurance carrier is not trying to cheat policyholders. But they will charge the highest available premium and uncertainties will usually resolve in their favor. The carrier will use whatever mod that was issued by the rating bureau (national (NCCI) or state rating authority). The carrier does not check for its accuracy.
It is always a good idea to have an independent qualified insurance professional review the past few years for mistakes and overcharges.
*ARAP (all risk adjustment program) is a second modifier used for experience rated policies in Massachusetts that are over 1.00. The normal experience rating is multiplied by the ARAP to arrive at the effective premium modification. For example, if the mod is 1.27 and the ARAP is 1.18, the effective modification is 1.50.
Sunday, October 31, 2010
Does your snow plow company have wc insurance?
We encourage our clients to verify that all subcontractors and companies performing work on premises carry the proper business insurance. Click on the following link to check to see if they have a workers comp policy in force.
Click on the DIA website for this useful information.
Please see “Workers Comp Insurance refunds – click here” at the very bottom of this page to see our informative web page. Your company may have been overcharged by the insurance carrier in the past. We get your money back!
Click on the DIA website for this useful information.
Please see “Workers Comp Insurance refunds – click here” at the very bottom of this page to see our informative web page. Your company may have been overcharged by the insurance carrier in the past. We get your money back!
Thursday, September 9, 2010
Workers Compensation Rates Change – Cost Increase for Most Companies
Massachusetts has highly publicized the average rate decrease of over 2% effective September 1, 2010 - This is misleading for many Bay State employers - Despite this claim, most companies will incur a cost increase upon policy renewal.
One reason for this is that the rate change varies by job classification. For example, the very low rate for clerical employees is reduced from 12 cents to 9 cents per $100 payroll (-25%) while sewer construction increases from $6.28 to $7.61 (+21%). In order to determine the cost impact of the rate change, an employer must review the class codes used on its own workers compensation policy.
Each employer pays a rate per $100 of payroll. The rate depends on the type of employment and the classification codes that are assigned to the employer. There are over 400 class codes in Massachusetts. The new rates apply to the next renewal policy on or after Sept. 1, 2010
Of the 66 construction class codes, 44 will have rate increases. Ten of these increase by over 20%.
But that is only half of the story. Along with the rate changes there is a change in the experience modification formula. This increases the cost for the vast majority of employers with average premium over $5,500 per year. In most cases, this offsets any rate decrease and exacerbates a rate increase. In some cases, the combined cost increase is 30% or more.
Is the rate setting process simply mysterious or more like a street wise shell game? It is noteworthy that the “players” in rate setting are mostly from the insurance industry, claimant’s bar and Massachusetts Rating Bureau, Division of Insurance and Attorney General’s office. There appears to be minimal employer representation.
We recommend that you contact your insurance professional well in advance of policy renewal to review and discuss these important changes. As Insurance Advisors, we are also available to review your company’s situation.
The Insurance Advisory LLC has been an approved program provider of the Workers Compensation Rating Bureau of Massachusetts since 1991. Please contact John Sullivan at 800-922-9161 or e-mail JS@theinsuranceadvisory.com.
One reason for this is that the rate change varies by job classification. For example, the very low rate for clerical employees is reduced from 12 cents to 9 cents per $100 payroll (-25%) while sewer construction increases from $6.28 to $7.61 (+21%). In order to determine the cost impact of the rate change, an employer must review the class codes used on its own workers compensation policy.
Each employer pays a rate per $100 of payroll. The rate depends on the type of employment and the classification codes that are assigned to the employer. There are over 400 class codes in Massachusetts. The new rates apply to the next renewal policy on or after Sept. 1, 2010
Of the 66 construction class codes, 44 will have rate increases. Ten of these increase by over 20%.
But that is only half of the story. Along with the rate changes there is a change in the experience modification formula. This increases the cost for the vast majority of employers with average premium over $5,500 per year. In most cases, this offsets any rate decrease and exacerbates a rate increase. In some cases, the combined cost increase is 30% or more.
Is the rate setting process simply mysterious or more like a street wise shell game? It is noteworthy that the “players” in rate setting are mostly from the insurance industry, claimant’s bar and Massachusetts Rating Bureau, Division of Insurance and Attorney General’s office. There appears to be minimal employer representation.
We recommend that you contact your insurance professional well in advance of policy renewal to review and discuss these important changes. As Insurance Advisors, we are also available to review your company’s situation.
The Insurance Advisory LLC has been an approved program provider of the Workers Compensation Rating Bureau of Massachusetts since 1991. Please contact John Sullivan at 800-922-9161 or e-mail JS@theinsuranceadvisory.com.
Thursday, June 3, 2010
Employee Fraud: unreported earnings while on wc disability
On December 17, 2009, a Framingham, MA man pled guilty to workers compensation fraud and perjury for misreporting his earnings while receiving disability payments from the wc carrier -- As prudent claims management, we recommend that clients check earnings of almost all employees after 45 days of temporary disability – here’s how .
(Massachusetts claims) Ask the claims examiner to send an “Employees Earnings Report” (DIA form # 126) to the injured employee (click view our blog below to continue). They are required to report all earnings from employment or self employment, by week, and list each employer. If they have no earnings, they state this under the penalty of perjury.
If they fail to return this report within 30 days, the carrier may discontinue disability benefits. If they deny any earnings and you believe they have been working (even under the table) notify the claims examiner and request an activity check (surveillance). Be prepared to give as much information as possible including a picture of the employee, vehicle description and license and place of employment (if known).
A fraudulent claim is difficult to prove in workers compensation because it is usually reported as unwitnessed. This is a no fault system and the laws favor the employee. If you have a claim you believe is fraudulent, it should be reported to the Insurance Fraud Bureau of Massachusetts 1800-32FRAUD (800-323-7283). The website is http://www.ifb.org/default_java.htm
Questions? Email or call us at 800-922-9161
(Massachusetts claims) Ask the claims examiner to send an “Employees Earnings Report” (DIA form # 126) to the injured employee (click view our blog below to continue). They are required to report all earnings from employment or self employment, by week, and list each employer. If they have no earnings, they state this under the penalty of perjury.
If they fail to return this report within 30 days, the carrier may discontinue disability benefits. If they deny any earnings and you believe they have been working (even under the table) notify the claims examiner and request an activity check (surveillance). Be prepared to give as much information as possible including a picture of the employee, vehicle description and license and place of employment (if known).
A fraudulent claim is difficult to prove in workers compensation because it is usually reported as unwitnessed. This is a no fault system and the laws favor the employee. If you have a claim you believe is fraudulent, it should be reported to the Insurance Fraud Bureau of Massachusetts 1800-32FRAUD (800-323-7283). The website is http://www.ifb.org/default_java.htm
Questions? Email or call us at 800-922-9161
Sunday, January 24, 2010
Winter Safety Tips to prevent work injuries
Each winter we see weather related work injuries that could have been prevented -- Here are some useful tips that can be implemented in your company or organization (click "view our blog" below to continue).
Ice melt and sand products. We suggest purchasing these products in bulk prior to the first snowfall. Always have adequate supply and the equipment and means to safely apply it (wheelbarrow, spreader, shovel)
Employee parking. Injuries that occur once an employee has arrived at work, or as they are leaving the building after work are usually compensable under workers compensation. We suggest that the parking area, sidewalks and exterior stairs be kept clear of ice and snow before employees arrive, during the work shifts, up until everyone has left. Proper lighting is also important. Check the timers to see that they are adjusted for winter.
Please see “Workers Comp Insurance refunds – click here” at the very bottom of this page to see our informative web page. Your company may have been overcharged by the insurance carrier in the past. We get your money back!
Snow shoveling. Often an employee is assigned this task. The biggest injury concerns are slip-and-fall, back strain and heart attack. Don’t wait for the snow to build up. Shovel early and often! Here is how to shovel properly:
• Lift with your legs, not your back. Bend your knees and keep your back as straight as possible so that the lifting comes from your leg muscles, not your back, Step in the direction that you're throwing snow. This will help prevent the lower back from twisting.
• Create some distance between the hands. This will give you more leverage and make it easier to lift snow.
• Pick up smaller loads of snow. It's best to shovel by sections. If you're shoveling deep snow (a foot or more), take it easy and shovel two or three inches off at a time.
• Do push. Don't lift. Save your back and your energy by simply pushing the snow to the side instead of lifting the snow and throwing it off to the side.
• AARP has a good article on the subject.
Snowblower safety. A good alternative to shoveling, there are also risks with snowblowing. Always have a mature, qualified person perform this task.
Clearing snow and ice from roof. Use only an employee who is experienced and capable of safely performing this task, and has the proper tools and materials. Otherwise, hire a company that performs this work.
Winter driving. If your employees are on the road, its an excellent time to conduct retraining on all safe driving techniques. Emphasize clearing all snow and ice from vehicle, defensive driving in difficult weather and increased stopping distances. Always have winter survival gear on board. Texting is the latest major cause of accidents and the company safety policy should specifically prohibit this while a vehicle is moving.
Please see “Workers Comp Insurance refunds – click here” at the very bottom of this page to see our informative web page. Your company may have been overcharged by the insurance carrier in the past. We get your money back!
Ice melt and sand products. We suggest purchasing these products in bulk prior to the first snowfall. Always have adequate supply and the equipment and means to safely apply it (wheelbarrow, spreader, shovel)
Employee parking. Injuries that occur once an employee has arrived at work, or as they are leaving the building after work are usually compensable under workers compensation. We suggest that the parking area, sidewalks and exterior stairs be kept clear of ice and snow before employees arrive, during the work shifts, up until everyone has left. Proper lighting is also important. Check the timers to see that they are adjusted for winter.
Please see “Workers Comp Insurance refunds – click here” at the very bottom of this page to see our informative web page. Your company may have been overcharged by the insurance carrier in the past. We get your money back!
Snow shoveling. Often an employee is assigned this task. The biggest injury concerns are slip-and-fall, back strain and heart attack. Don’t wait for the snow to build up. Shovel early and often! Here is how to shovel properly:
• Lift with your legs, not your back. Bend your knees and keep your back as straight as possible so that the lifting comes from your leg muscles, not your back, Step in the direction that you're throwing snow. This will help prevent the lower back from twisting.
• Create some distance between the hands. This will give you more leverage and make it easier to lift snow.
• Pick up smaller loads of snow. It's best to shovel by sections. If you're shoveling deep snow (a foot or more), take it easy and shovel two or three inches off at a time.
• Do push. Don't lift. Save your back and your energy by simply pushing the snow to the side instead of lifting the snow and throwing it off to the side.
• AARP has a good article on the subject.
Snowblower safety. A good alternative to shoveling, there are also risks with snowblowing. Always have a mature, qualified person perform this task.
Clearing snow and ice from roof. Use only an employee who is experienced and capable of safely performing this task, and has the proper tools and materials. Otherwise, hire a company that performs this work.
Winter driving. If your employees are on the road, its an excellent time to conduct retraining on all safe driving techniques. Emphasize clearing all snow and ice from vehicle, defensive driving in difficult weather and increased stopping distances. Always have winter survival gear on board. Texting is the latest major cause of accidents and the company safety policy should specifically prohibit this while a vehicle is moving.
Please see “Workers Comp Insurance refunds – click here” at the very bottom of this page to see our informative web page. Your company may have been overcharged by the insurance carrier in the past. We get your money back!
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