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If you don’t measure it, you can’t change it.
Your company’s Workers’ Compensation claims data holds a wealth of information. If you can’t find it, your business may pay hundreds of thousands in excess premiums. However, you can save that money if you uncover the right information — and have the skill to interpret what you find.
Your insurance carrier won’t help you do that, but M3 does. With the Worker’s Compensation Risk Analysis Report (RAR), we give you that key data. Then we show you how the data points to solutions that can lower your premiums.
| A Closer Look at Workers' Comp |
| M3’s RAR gives you a simple graphic view of the claims factors that drive your premium. It outdoes off-the-shelf software by covering more factors, including:
- Medical vs. indemnity costs
- Causes of loss
- Frequency and severity of loss
- Employees with repeated claims
- Breakdown by locations, departments or supervisors.
M3 can tailor your RAR to analyze factors that are distinctive to your workforce or industry. For example, we can analyze your claims based on employees’ age or years of service, time of year or even time of day.
The RAR compares your company’s performance with benchmark standards for your industry group and state. It may also show a comparison with any other states in which you operate.
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The Risk Analysis Report Works for You
The RAR is a versatile assessment and planning tool for your business. You can use it for:
- Business planning – The results may document the need for a Return to Work policy, new safety procedure or training schedule.
- Education — RAR’s comparative data defines what is typical claims activity for your industry and state. Review the RAR with your managers to explain Workers’ Compensation costs and the extent to which the company can control them.
- Confirming or correcting your Experience Modification Factor (MOD) — The analysis may explain why the MOD is so high or it may uncover some errors in the calculation.
- Forecasting and trending — You can use the RAR to track and forecast your claims activity from year to year. It also allows you to measure the results of changes made to improve safety and health.
- Marketing your company to carriers — It provides valuable information for an underwriter, especially when it includes details of any corrective action that you’ve taken.
The RAR also becomes a valuable diagnostic tool when you know the “so what?” behind the data. That’s why your M3 advisor reviews the report with you. He or she helps you understand the significance of the findings—where the losses occurred and who or what caused them. Along with that knowledge, your advisor puts forth solutions that can
improve your operations and lower your premiums.
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