Workers’ Compensation Insures loss due to statutory liability of employer as a result of personal injury or death suffered by employees in the course of their employment, providing compensation in amounts prescribed by law. When a compensation act does not apply, employer’s liability coverage under a liability coverage form or commercial general liability coverage form is recommended.
A primary focus is to achieve the lowest possible experience modification (x-mod). Your x-mod impacts your upfront premium and your daily cash flow. A low x-mod can give you a significant competitive advantage. A high x-mod could literally make your insurance costs unmanageable. One bad year, one over-reserved claim, or one avoidable accident will affect your x-mod for three years. The effect of our review of open claims on current and past policies is of significant value to your company.
We consistently review all open claims that impact your x-mod and the marketability of your insurance. We encourage the adjuster to be proactive and follow an aggressive action plan toward claim closure. Our combined expertise and excellent working relationships with the various claims adjusters make our claim reviews truly beneficial to our clients. This effective service reduces your experience modification.
Effective claims management is even more important in open rating because a lower loss ratio directly lowers your premium. An industry fact is that some files get more attention than others because of sheer numbers and time. Our client’s claim files receive the proper attention.
At Garcia we evaluate our carriers based on the number of files handled by each adjuster and how aggressively they manage those files.
Naturally the best solution is to avoid all claims, but that is unrealistic. However, preventing as many accidents as possible allows us to start from a more desirable position. We will coordinate loss control services from the insurance company, for safety meetings, inspections, and training.
Injury & Illness Prevention Program
Senate Bill 198 is a California labor code addition which requires all employers to establish and maintain an effective and written Injury and Illness Prevention Program (IIPP). We will coordinate with the loss control consultant specialist from your new carrier to develop and implement the program. If you already have an IIPP one of our representatives will review it and suggest any changes to keep you in compliance.
The more both you and your employees know about workers’ compensation the better. An employee is less likely to litigate if he or she knows how much you pay to ensure all of his or hers medical bills and permanent and temporary disability. An injured employee is contacted expeditiously by the claims adjuster to provide benefits quickly and decrease litigation potential.