5 Considerations For Writing a Workers Comp Assessment Report

Robert Elliott discusses How To Assess Workers Compensation Costs. There are Five Considerations … A solid workers' compensation cost control program requires an employer to first identify the key cost drivers; i.e, those company-specific factors causing workers to stay out of work too long. Many companies take a hit or miss approach resulting in misidentifying the cause of their workers' comp costs. They start by looking at what their vendors are doing, rather than at their own internal company practices. Employers need to follow a systematic method to diagnose the key real-cost drivers within the company, based on a best practice approach to post-loss (not pre-loss) cost containment. Consider these five items before writing your assessment: 1: What can a risk manager and/or senior management learn from an assessment? 2: What methods can be used to assess a company's workers' compensation process? 3: What areas should be reviewed? 4: Who should do the assessment and what are the benefits of each? 5: What should a company do AFTER the assessment – what is the next step in reducing workers' compensation costs? Some companies wait until they are in serious trouble before taking action. They think of workers' compensation as a cost of doing business and do not realize there is anything they can do to control the costs or they wait until they have the perfect system in place before beginning. Often the process of doing the assessment is the start of the process of change. Try the WC Cost Calculator to show the REAL COST of work comp. Look at WC 101 for the basics about workers comp. Workers' Comp Kit^® is a web-based online Assessment, Benchmarking and Cost Containment system for employers. It provides all the materials needed to reduce your costs significantly in 85% less time than if you designed a program from scratch. Do not use this information without independent verification. All state laws are different. Consult with your corporate legal counsel before implementing any cost containment programs. ©2008 Amaxx Risk Solutions, Inc. All rights reserved under International Copyright Law. If you would like permission to reprint this material, contact I[email protected]