August 30th, 2010 by dressler
Workers’ Compensation Insurers Losses Increase: The WCIRB issued a Summary of Insurer Experience on August 26, 2010, which for the first time includes a recap of the financial results of insurers financial reports for the 2009 workers’ compensation financial year. On an “underwriting ratio basis”, meaning premium compared to losses and operating expenses, the 2009 calendar year combined loss and expense ratio was 116%, compared to 101% for 2008 and 85% or 2007. Even more telling, the first report for 2010 indicates losses are 5% higher in 2010 than in the prior year.
These financial results will drive insurance company decisions on pricing and rates.
Summary of Combined Ratio:
2009 2008 2007
116% 101% 85%
So, you should start working early with your insurance agent or broker on renewal of your company’s 2011 policy!
Posted in Work Injury, Workers Comp | No Comments »
August 23rd, 2010 by dressler
The pendulum is swinging on workers’ compensation and it is in the direction of higher benefits and higher workers’ compensation costs for California employers. Better fasten your safety belt, sharpen your written safety plan, and start with an aggressive cost control program if you haven’t already done so.
Why do I say this? This past Thursdays’ decision by the 6th District California Court of Appeals upholding the Workers’ Compensation Appeals Board majority’s opinion in a case referred to as “Guzman”. (Milpitas Unified School Dist. v. Workers Compensation Appeals Bd. and Joyce Guzman., decided Aug. 19, 2010.)
The Appellate Court ruling supports flexibility and encourages litigation in permanent disability workers’ compensation cases by expanded the 2004 workers’ compensation reform law attempt to have strict, objective basis for rating permanent work injuries. It is estimated that this ruling can increase workers’ compensation costs by 5.8%.
Governor Schwarzenegger has made workers’ compensation reform one of his most significant achievements, and his administration has steadfastly defended the reforms. This court decision and mounting pressure for benefit increases as well as steadily rising benefit and medical costs will push workers’ compensation insurers toward rate increases at a time when their losses have already been rising.
Posted in Workers Comp | No Comments »
August 2nd, 2010 by dressler
Even a long work day, driving from Sacramento, stopping in Bakersfield, before arriving at a construction site in Los Angeles, then switching to his personal car for the drive to his home in Los Angeles, after 10:00 p.m. when he had an auto accident and was injured…failed to qualify employee Ki Choi of Union Lee Construction Company for a workers’ compensation claim!
The California Supreme Court upheld a decision of the Workers’ Compensation Appeals Board that this case fell within the general rule that a work injury sustained in the normal commute, going to or from work, is not covered by the Workers’ Compensation law.
The basic rule for excluding coverage of these injuries is that the employer has no control over the employee during these times, gains no benefit from the activity and the work relationship is suspended because the employer is not paying for the time involved. The California Court of Appeals had previously also upheld the WCAB position.
Employer action: Be aware there are many exceptions to the “going and coming rule.” If in doubt, contact Don Dressler Consulting or your workers’ compensation attorney for more information.
If you would like to share your own experiences or talk about similar problems in your organization, call me at 949-533-3742.
Posted in Work Injury, Workers Comp | No Comments »
July 29th, 2010 by dressler
In reviewing the accident reports of a clerical office this past week, I was reminded again that apparently one of the most dangerous activities many of us engage in each day is simply walking.
Why is that simply putting one foot in front of the other results in so many work injuries? After all, slips, trips and falls are a major cause of injuries on the job, and away from work as well.
According to OSHA data, slips and falls cause 15% of all accidental deaths, second only to motor vehicles.
Nationally, 10% of all work injuries are caused by slips, trips and falls. Now some of these injuries involve ladders, construction and heights. But most of them are injuries from just walking from one place to another. Why?
Slips are primarily caused by a slippery surface and compounded by wearing the wrong footwear. Proper housekeeping can contribute to safety and the prevention of falls. Walking too fast, distractions; not watching where we are going, and failing to use handrails are also factors.
None of us want to be one of the 1 million Americans each year who experience a slip or fall, and certainly don’t want to be one of the approximately 17,000 workers who die from such incidents annually.
If you would like to share your own experiences or talk about similar problems in your organization, call me at 949-533-3742 or send me a reply:.. Don Dressler e-mail.
Posted in Accident Reports, CAL/OSHA, Slips & Falls, Work Injury | No Comments »
July 19th, 2010 by dressler
I recently observed a manager responsible for information systems. The expectation was that if there was a problem, this manager would let the CEO know. But it didn’t happen. And, it didn’t happen again and again.
In this case, the CEO, a client of mine, made an “attribution error” just as many of us do. We assume we know what and why people are doing things that disappoint us. So, failing to change the manager’s behavior, the CEO fired the person.
What if we start with the premise – “why would a reasonable rational and decent person do that?” Then we have a chance to develop a complete view of the other person and their circumstances, instead of the traditional, “what’s wrong with them?”
Having a crucial confrontation is all about holding someone accountable face to face.
I highly recommend Crucial confrontations, by Kerry Patterson, Joseph Greny, Ron McMillan and Al Swtzler, McGraw-Hill, 2005. The book offers great tips on how and when to hold others accountable.
If you would like to share your own experiences or talk about similar problems in your organization, call me at 949-533-3742 or send me a reply:.. Don Dressler e-mail.
Posted in Accountability, Communication, Recommended Reading | No Comments »
July 13th, 2010 by dressler
In 1989, California enacted SB 198, a state law requiring employers to have a written safety plan, or Injury and Illness Prevention Plan. Twenty years later, failure to have an IIPP is the #1 basis for Cal/OSHA citations, with possible fines ranging up to $7,000.
Why should your company have such a plan, other than it is a requirement under state law and you don’t like to pay fines? An IIPP can help reduce accidents and injuries among your employees, which might be a good enough reason. But even better, a written plan is almost always part of an application for most insurer’s workers’ compensation insurance underwriting, and can lower your workers’ compensation insurance costs. Further, a safety plan is a proactive step, much better than waiting for a work place tragedy with serious injuries or worse, not to mention an OSHA inspection and fine.
Comments or questions about Injury and Illness Prevention Plans, are encouraged…
Don Dressler e-mail
Posted in CA State Law, CAL/OSHA, Safety Plan, Workers Comp | No Comments »
July 7th, 2010 by dressler
Illness and Injury Prevention Plans, or in the new terminology I2P2, are one of the latest ideas in the school of “I’m from the government and I’m here to help you” way of thinking. The U.S. Occupational Safety and Health Administration is preparing to adopt a national rule forcing employers to adopt formal written safety programs.
California employers may be tempted to tune this message out, since they have had a requirement under Cal/OSHA for years to have a written safety plan, so why worry?
Well, for two reasons:
- The Federal rule is likely to require “allocating resources” or putting money on the line for such efforts.
- Requiring Employee participation in “establishing, maintaining and evaluating the program.”
This focus on employee involvement is looking in the wrong place. An absolute truth about safety is that if the owner or head of a business is concerned about safety and demonstrates that concern, there are less injuries and worker’s compensation costs are lower. And this is because safety goes directly to the “bottom line”. Remember…Accidents Cost Money. Please comment on your written Injury Prevention Plan experience.
Don Dressler e-mail
Posted in CAL/OSHA, Injury Prevention Plan, Safety Plan | No Comments »
June 28th, 2010 by dressler
With a few action steps, you can de-ICE your company! You may think you don’t have to worry about ICE (Immigration and Customs Enforcement), but neither did a lot of other employers, just like you.
ICE really meant it when they said they are focusing on worksite enforcement through I-9 audits, and not just by the well publicized mass efforts you may have read about in the news last year or this past spring.
Now, all it takes is an unhappy employee to make a complaint to the US Department of Labor or Justice, or an employee or ex-employee to run into trouble with Immigration and bargain a deal to turn on you – to trigger an I-9 audit. And they use FORENSIC AUDITORS.
So how do you defend yourself in advance? ICE will recognize and give credence to an established, written procedure for processing I-9s. Just e-mail me for suggestions on such procedures.
Have a safe and ICE-free month,
Don Dressler e-mail
Posted in I-9 Audits, ICE, Immigration and Customs Enforcement | No Comments »
Blog