Businesses and employers can take several steps to reduce risks and manage California Workers’ Compensation claims. Here are 7 key steps to safeguard employees and workers to manage risks of California workers’ compensation.
Hire the right people for the job. Many times ideal employees may have a history of a frequent job change, and of California Workers Compensation claims. While employers should not discriminate based on prior claims, choose employees who will perform well and run thorough background checks to prevent fraud. Ask for pre-employment drug tests and physicals for evaluation.
Incorporation of safety procedures and proper awareness campaigns to prevent accidents. Implementation of procedures to address grievances and reminding the employees of workplace hazards and their potential consequences are necessary, Training employees on proper safety techniques and practices, and making them safety conscious. Keeping the Injury Prevention Plan (IIPP) updated. Organizing periodic inspections and providing employees with handbooks on procedures is important.
Hold safety training meetings on a monthly basis and to ensure safety offering group and individual incentives for safety-conscious employees.
To ensure a better workforce, businesses should offer their employees medical insurances, retirement benefits, and such to avoid them from turning to workers’ compensation insurance to pay for medical bills or other costs. Providing health insurance can get companies special discounts of 5 to 10% off annual health insurance premiums to help compensate for the cost of benefits when combined with Workers Comp.
Another occupational benefit is the application of an early return to work program. This allows employees to perform modified work while recovering and decreases the cost of indemnity payments and helps in engaging the employee at work while they recover.
Take care of the employees, listen to their grievances, complaints, suggestions and do not alienate them from their relationship with the job and the company due to an injury. Employees who are well treated rarely sue their employer for benefits from workers’ compensation insurance claims. Employees injured often feel apologetic about the damage caused.
Keep the needs and state of the employees in mind. Check if they have proper facilities and basic amenities. Offer provisions and guidelines in case of emergencies and treat them as part of the company and not external.
When an injury occurs, it is mandatory that an investigation of the accident takes place. Make notes, take pictures, obtain facts, gather details and check the machinery, equipment and other factors in question. Talk with witnesses, get signed statements, and get an accurate scenario of what happened. Keep the records and take steps to avoid repeating the same injury.
If claims are not closed on time can increase the compensation premiums. It is necessary to stay in contact with the medical provider, the employees, and related parties to keep the experience modification low. Remember to maintain good relations, report claims on time, obtain and audit provider invoices, and close claims.
Once a year, your California workers’ compensation carrier sends a report card to the government agency that calculates your experience modification factor for the upcoming policy year. The “Unit Statistical Report” provides workers’ comp bureaus with information both on premiums paid, and losses incurred as a result of injuries. If you have open claims during the time that your unit statistical report is calculated, your experience modification factor may be overstated.
Request a copy of your experience modification worksheet from the state worker’s compensation bureau along with your loss run report. The experience modification worksheet provides all the calculations and factors involved in the development of the company’s mod. Loss run reports provide the accounting with paid-in premiums and claims that are open and closed in the policy year. Remember that the calculation date is 2 months before the NAD.
There is only so much that can be controlled regarding California Workers Compensation coverage costs. A good insurance broker will help implement all the above-mentioned suggestions at little or no cost. Let us calculate your workers’ compensation insurance in California.