Controlling Costs Associated with Workers’ Compensation with the 3 x 3 Method

Implementing effective strategies to control the costs associated with workers’ compensation is crucial for companies seeking to optimize efficiency and mitigate financial burdens.

Planning for the predictable

Predictability can be favorable – it helps companies, communities and management efficiently prepare to prevent some incidents, control the severity of some incidents, and reduce associated cost. The three main claims drivers for incident frequency and severity are resident handling resulting in sprains and strains, slips, trips and falls, and incidents resulting from resisting/refusing residents. They have held this top spot and have been consistent across all levels of senior care and remain the priority pattern for loss runs and incident data provided by carriers. With this precedented pattern of incident types, prevention and control should focus on the fact it will happen and apply safety initiatives based on this fact. Start with the historical estimation of “it will happen” and set goals.
  • Plan for the 3’s and reduce each by 3 by a specific timeframe – setting the expectations and attaching a follow-up date for evaluation sets a mindset and a goal.
  • Get the key people onboard and committed to a 3 by 3 project.
  • Share the incident data with all regional staff and community management attaching ownership to the lagging or leading indicators.
  • Assign specific duties for success as reviewing the loss data and pattern identification and reporting up or notifying down when needed.
  • Set an example by evaluating the last 3 employee incidents to discern if the policy failed the employee or the employee failed the policy.
  • Expect a causal analysis to be completed with each incident and near miss.
  • Do not assume the current policies are still functional, reassess for functionality and to identify common causes of process failure.  Is it easy to remember the steps and apply to everyday tasks?
Take proactive steps today to control your workers’ compensation costs and safeguard your business’s financial stability. By embracing the 3 x 3 Method and implementing targeted safety initiatives, you can minimize incident frequency and severity. To explore all of your options and receive expert guidance in reducing workers’ compensation costs, connect with the experienced brokers at Propel Insurance.
Propel Insurance

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