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Workers' Compensation
Managing Work Comp Costs – Unit Stat Reporting
Did you know that the claims data used to promulgate an experience modification is submitted to NCCI six months prior to your renewal date?
As a result, it is critical that all loss runs are gathered and reviewed 9-months in advance. This ensures all claims that can be closed are closed, reserves are reviewed and lowered if appropriate, and the most favorable loss data makes its way to NCCI. Adopting this process can have a tremendous impact on the experience mod used in renewing work comp insurance.
This suggested timeline can help your business stay ahead:
- Nine months prior to renewal – loss data is gathered and reviewed with the insurance company and client
- Eight months prior to renewal – every effort is made to close claims and lower reserves where possible
- Seven months prior to renewal – deductible reimbursement program is discussed
- EAIP program reviewed to verify client is obtaining monies from the state
- Return to Work Program is evaluated for maximum effectiveness
- Mod projections are done too early. do the projection 5 months out when data is known
- Six months prior to renewal – updated NCCI loss data is submitted
- Schedule regular claims reviews for the following year
- Five months prior to renewal – mod projections complete once data is known
Controlling Workers’ Compensation costs and best managing the loss data used as the experience modification factor – means having a broker who intimately understands the Unit Stat Reporting process.
To learn more about managing the total cost of risk for your workers’ compensation, contact any of us at Propel Insurance.
