What are Safety Groups?

Keevily Spero Whitelaw, Inc., Group Manager, is pleased to announce that Electrical Industries of New York State Workers’ Compensation Safety Group #489 has declared a 30% dividend for the 11/1/23 – 11/1/24 policy period. This dividend is in addition to the 32.5% discount qualified members will receive for the upcoming 11/1/25 – 11/1/26 policy period.  

This dividend and premium discount represent the continued strong performance of Safety Group #489.  Our member’s improved efforts to better control their Workers’ Compensation claims experience and reduce claim costs are paying off. 

The dividend will be issued by NYSIF the first week of October

If you have any questions about how Keevily can help you improve your firm’s safety record, please don’t hesitate to call on us! 

Thanks for your continued participation in the Electrical Industries of New York State Workers’ Compensation Safety Group #489. 

We want to make you aware of the upcoming changes to the Construction Classification Premium Adjustment Program (CPAP) that will apply to policies with an effective date of October 1^st, 2025, and later.

The New York Compensation Insurance Rating Board (NYCIRB) has redesigned the CPAP Program to increase participation in the program, shift the application burden to carriers, and to better compensate for wage discrepancies within different class codes. 

What’s Changing?

• No more CPAP application – carriers must gather wage and hour information during the audit and submit it to NYCIRB.
• Credits will be based upon annual payroll data, not a single quarter
• Estimated CPAP credits will be calculated at the time of quotation.
• Credits are now based on class code-specific wage thresholds, not a single wage table.
• Final credits will be determined by NYCIRB and applied to policies after the annual premium audit.

What does this mean for you right now? 

The current CPAP application that would have been filed for your 11/1/2025-26 policy is no longer to be used. Please do not submit a CPAP application to NYCIRB, NYSIF, or to Jeanine Cosentino, our NYCCPAP Coordinator for our Workers Compensation Safety Groups.

NYCIRB is still working on the final details of this redesign. As soon as we know more information, we will communicate with you on what the next steps are.

The good news is that you have some control over your experience modifier. Here are a few helpful steps you can take to improve it:
 

Focus on Safety:
 

• Implement robust safety programs tailored to your industry.
• Conduct regular safety training for employees and management.
• Ensure compliance with OSHA regulations and other safety standards.
   

Investigate and Prevent Claims:
 

• Promptly investigate workplace accidents to identify root causes.
• Address hazards immediately to help prevent future incidents.
• Develop a culture of safety where employees feel encouraged to report risks or near misses.
   

Return-to-Work Programs:
 

• Establish a return-to-work program to help injured employees transition back into the workplace.
• Light-duty roles or modified responsibilities can help reduce the length and cost of claims.
   

Monitor Claims Closely:
 

• Work closely with your insurance provider to manage open claims efficiently.
• Verify claims are accurate and legitimate to help avoid unnecessary costs.
   

Hire Strategically:
 

• Screen new hires for safety awareness and physical capabilities for their roles.
• Provide thorough onboarding and training for all employees.
   

Review Payroll Classifications:
 

• Ensure employees are classified correctly for workers’ compensation purposes, as errors can inflate your costs.
   

Note: the above represents strategies a company might consider to help lower its experience modifier.  This list is not exhaustive and should not be considered a comprehensive guide; companies should consult a qualified insurance or risk management professional for advice tailored to their specific situation. 
 

Lowering your experience modifier doesn’t just help you save money on insurance—it can position your business as a safer, more reliable partner. A strong safety record reflected in a low modifier not only helps reduce costs but also enhances your credibility in the eyes of customers, employees, and stakeholders.

Your experience modifier doesn’t just affect your insurance premiums—it can also influence your ability to secure business. Many customers, especially those in industries like construction, manufacturing, and logistics, evaluate a company’s safety performance as part of their vendor qualification process. If your experience modifier is too high, you may be deemed a higher risk and ineligible for their qualified vendor list.
 

On the other hand, a favorable experience modifier can be a powerful differentiator, signaling your commitment to safety and operational excellence. It can open doors to work with top-tier clients who prioritize partnering with companies that demonstrate strong safety records and risk management practices. In some cases, a low modifier might even be the deciding factor in landing a lucrative contract. Prioritizing your experience modifier is more than a cost-saving measure—it can be an investment in your business’s reputation and growth.

Insurance companies use your experience modifier to adjust the base premium rate for your workers’ compensation policy. A higher experience mod means you’ll typically pay more for coverage, while a lower mod can result in substantial savings.
 

To put it into perspective, here is an illustrative example:

• If your workers’ compensation base premium is $100,000 and your experience modifier is 1.2, your adjusted premium will be $120,000.
• Conversely, if your mod is 0.8, your adjusted premium will be $80,000.
   

This means your experience modifier can have a significant impact on your annual workers’ compensation insurance costs.

The experience modifier is a numerical rating used by insurance companies to assess the risk of a business compared to others in the same industry. It is based on your company’s actual claims history and payroll data over the past few years, typically three years excluding the most recent policy year.

An experience modifier of:

• 1.0 indicates your claims history is average for your industry.
• Below 1.0 reflects better-than-average claims performance, leading to lower premiums.
• Above 1.0 signals higher-than-average claims, resulting in higher premiums.
   

For example, a company with an experience modifier of 0.80 will typically pay 20% less in workers’ compensation premiums than average, while a company with a mod of 1.20 will typically pay 20% more.
 

Note that not all businesses are experienced rated.  Several factors determine whether a business is eligible for or subject to an experience mod, including whether it is a new venture, the amount of premium generated, its classification codes, and other state specific considerations.

Insurance companies use your experience modifier to adjust the base premium rate for your workers’ compensation policy. 

For more information call your Keevily Team 1-800-523-5516

How Keevily Helps You Lower Your Experience Modifier (Mod)

Your Experience Modifier (Mod) plays a key role in determining your workers’ compensation insurance premiums. A lower Mod can mean significant savings for your business—but understanding how it’s calculated and what influences it is essential.

At Keevily, we work closely with our clients to help improve workplace safety, reduce claim frequency and severity, and ensure claims are closed efficiently. These efforts directly contribute to lowering your Mod over time.

What is the Experience Mod?

Your Experience Mod is a numeric representation of your company’s past claims history compared to similar businesses. A Mod of 1.00 is considered average. A Mod greater than 1.00 may indicate higher-than-average losses, which can lead to increased premiums. Conversely, a Mod below 1.00 suggests better-than-average performance and can result in lower premiums.

How Keevily Supports Mod Reduction

We partner with you on proactive strategies that make a measurable impact, such as:

• Safety Programs: We help implement tailored safety protocols to prevent workplace injuries.
• Claims Management: Our team monitors open claims to support resolution and cost containment.
• Training & Compliance: We provide resources and tools to ensure your team is trained and up to date on best practices.
• Data Analysis: We analyze trends in your loss history to uncover improvement areas before they impact your Mod.

These efforts not only support a safer workplace but also create long-term savings by improving your Mod score.

If you’re unsure how your Mod is calculated—or want to explore ways to reduce it—reach out to our team. We’re here to help you protect your workforce and control your insurance costs.

1-800-523-5516

8 Proactive Strategies to Help Manage Insurance Costs and Boost Profitability

In today’s competitive market, managing risk is critical to maximizing profitability. These eight strategies will help enhance your safety culture and promote improved business outcomes.

1. Adopt a Proactive Risk Management Strategy: Regularly assess risks and implement preventive measures. Businesses with a track record of managing risk may be able to reduce claim frequency and may be seen as a lower-risk profile by insurers.
2. Invest in Employee Training: Safety training can help reduce workplace incidents, which may lead to fewer claims and improved operational efficiency.
3. Leverage Data and Technology: Using tools like telematics, AI, and predictive analytics can help you identify hidden risks, correct behaviors, improve process, and provide data to demonstrate your risk management efforts to insurers.
4. Establish Clear Processes and Protocols: Clear, consistent processes for operations, safety and claims management help ensure consistency, making it easier to identify and address risks.
5. Foster a Culture of Continuous Improvement: Use close calls and incidents as opportunities to refine processes and training, demonstrating your commitment to reducing future risks.
6. Engage with a Trusted Risk Advisor: Advisors can provide tailored risk management strategies and help you access resources to address your unique challenges.
7. Conduct Outside Safety and Compliance Audits: Bringing in an outside perspective can help you identify risks or compliance gaps that may not be obvious internally. Catching these issues early can help you address them before they lead to costly claims or regulatory penalties. 
8. Benchmark and Monitor KPIs: Track and communicate metrics such as incident rates and claim costs. These insights help you identify areas for improvement and showcase your progress to insurers. Let your employees know how their actions can favorably impact the company’s results.

The experience modification rate plays a significant role in the cost of workers compensation insurance premiums. This figure represents an employer’s workers compensation claims history compared to other businesses of a comparable size in the same industry.

What does your experience modification rate say about your company?

A mod factor greater than 1.0 is a debit mod, which means that your losses are worse than expected for your industry and a surcharge will be added to your premium. A mod factor less than 1.0 is a credit mod, which means losses are better than expected, resulting in a discounted premium.

The mod depends on these components:
1. Actual losses from the three prior policy periods, not including the most recent policy period
2. Expected losses based on payroll and expected loss rates for the industry
3. The amount of each loss – severity.
4. The number of claims – frequency.
5. Ballast and weighting values which limit the effect of any one single loss.

Experience modification errors cost business owners money each year if their insurance agent isn’t analyzing the data to insure accuracy.   Our workers comp specialists review your experience modification factor at least twice a year and show you how much each mod point is worth.   You will also see how claims affect your premium over a 3-year period.

For most employers, workers compensation insurance is all about one number — the premium. –

Understanding the factors that influence the experience modification factor can help you positively influence this figure through proactive risk management strategies. This can lead to improved workplace safety, reduced claims, and lower overall workers compensation costs.