Workers compensation claims are inevitable in any business. However, with proper training, prevention strategies, and risk management, these claims and associated costs can be minimized. As ignoring these hazards can damage your business and reputation, obtaining proper Workers Compensation Insurance in Florida is critical to your success.
According to the Bureau of Labor Statistics, workers’ compensation claims represented about 1.4 percent of total compensation costs in the U.S. as of March 2015. However, for construction and similar industries, this figure increases to 3 percent. For example, this translates to $1.82 per $100 in payroll. On top of legal fees and medical expenses, companies lose money due to lost time and productivity as a result of the employee’s injury. In order to combat these statistics, it is recommended your business takes the following steps.
Provide Training- Proper training can prevent injuries from happening. Providing ongoing training programs on safety and procedures will make your workers aware of the potential risks associated with their job duties. Safety & Health Magazine and the National Safety Council found that even just a dollar of injury prevention investment can provide up to 500 percent return.
Workplace Safety Evaluations- Experts recommend having a third party risk management company assess and inspect your workplace and equipment to ensure proper safety compliance and identify potential risks.
Recognize Workers’ Comp Fraud Signals- As an estimated 1 to 2 percent of all claims are fraudulent, it is critical to recognize red flags. Consider the timing of the claim, potential witnesses, history of claim activity, and cooperation from the injured worker.
Return-to-Work Program- Implementing a plan to get employees back to work efficiently can reduce absenteeism and increase productivity. What’s more, this tactic helps workers to recognize their recovery is important and that the company has not disregarded their injury. In turn, this increases company morale.
Seek Professional Help- Rather than attempting to manage all claims in house, experts recommend outsourcing this responsibility to professionals. Doing so can reduce mismanagement and ignoring of claims and neglecting other aspects of your business in the process.
At Newman Crane, we specialize in providing insurance solutions for businesses like yours. With over twenty years in the industry, we are experts in numerous coverages to defend your business against a variety of risk exposures. For more information, contact us today at (407) 859-3691.