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.