Seven Things to Explain to Your Third Party Administrator About Your New Workers Comp Program

July 22, 2009 By // by Robert Elliott, J.D. Leave a Comment

As you probably already know, the first step in reducing your workers' compensation costs is implementing a well-thought-out program, one including:

Specific duties within your company
A regulated injury-response system
A systematic post-injury follow up
Accurate and thorough documentation throughout the process.

If you are a large company, you may choose to use a third-party administrator (TPA) to handle some of the nitty-gritties, so to speak. But, your TPA must be aware of your new program. They must part of the team. The Workers Comp Kit suggests informing the TPA of your new program is something can be done through email. Many communiquÃ© should be on paper, or at least printable documents, but simply informing the TPA can be more causal. A copy should go to the TPA AE. We suggest explaining the following:

First, your new program's goal is to reduce workers' compensation costs, which implies returning employees to work as soon as possible.
Next, note you have added a part-time medical director to enhance the quality of the treatment your employees receive. This is not to reduce medical provider fees, but to expedite return to the workforce.
Be polite. Inform your TPA you are looking forward to a close relationship.
Inform them the first phase of the program involves developing a team of qualified individuals and you want them on your team.
The team meets weekly. Include the time, date and method (likely a conference call) for these meetings. (workersxzcompxzkit).
Ask them to respond quickly to be sure they are on board.
Close, again, with your company and contact information.