The cost of worker’s compensation insurance causes major headaches for business owners across the board. The cost of premiums can quickly spiral out of control, and you may think there’s nothing you can do to reign them in. But, there are several steps you can take to ensure you’re paying as little as possible for worker’s compensation while still enjoying full coverage.
The best thing you can do for your company in terms of controlling the cost of worker’s compensation is to keep accidents to a minimum. No matter what point you’re starting from, refreshing your safety training and programs or implementing new ones is an excellent way to keep accident reduction at the forefront of your employee’s minds. It’s also a good idea to explain to them why safety is so important and how it impacts the company’s bottom line.
If your premiums have been rising due to multiple claims, it’s a good idea to examine your claims history to see if there are any specific problem areas you need to address. Developing targeted safety initiatives aimed at reducing particularly problematic situations and injuries can have a huge impact on the overall cost of worker’s compensation for your company.
RETURNING EMPLOYEES TO WORK
Another important element to consider is the amount of time it takes for injured employees to return to work. Of course, this will vary based on the nature and severity of their injury, but because worker’s comp also reimburses your employees for lost wages, having a program in place to get them back to work quickly will reduce the overall cost of each claim significantly.
PROMPT ACTION AND PROPER HANDLING OF CLAIMS
Similarly, acting as soon as an accident occurs to document the circumstances and file a report will ensure the claim is processed as quickly as possible. Beyond this, it’s important to regularly review open claims to ensure they still need to be open and that they’re being handled appropriately. The longer a claim is left open, the more it will cost, making prompt closing of settled claims essential as well.
FINDING THE BEST RATES
It pays to shop around for the best rates for worker’s compensation insurance as well, and this can be a daunting task due to the sheer number of providers in California. However, this free calculator allows you to quickly compare the rates available from all insurers in the state, giving you a clear view of your options and the range of coverages available.