Emergency! What Is Your Level of Preparation?

Preparing for natural disasters, terrorist attacks, earthquakes, fires and the floods that follow are things we know we should do, but …

After all, you probably think you already have been through enough disaster  with the recession, investment market and housing slump, three-year drought, largest fire in Los Angeles County history and the failure of 100-year old water mains. What’s next?

Being prepared in your business is required.  As an example:

• Basic- Cal/OSHA Emergency Action and Fire Plan. California requires every employer to have a plan dealing with disaster and safe evacuation of employees.
• Better Business Continuity Plan. Gets your firm back into profitable operation after interruption from crisis or disaster.
• Best Practice- Customer Focused Plan as a Competitive Advantage. Proactively work with key customers and suppliers to assure service during and after a disaster.

2010 Workers' Comp Ex Mod Formula

Many employers have had a hard time following how their work comp ex mods have been calculated. In one step to make the process more clear, for 2010, California will use a single “split point” of $7,000 for each work comp claim into primary and excess components rather than the current formula for splitting claims.

Since primary losses effect an employer’s ex mod more than excess losses, this change makes it important for an employer to do what they can to hold down the first dollar costs of each claim. Any amount saved below $7,000 will help save on their ex mod and their premiums for 3 years to follow.