Archive for the ‘Work Injury’ Category

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Back Injury … On The Job

Monday, July 11th, 2011 by Don Dressler

What can you do when an employee has been injured, and your Workers Compensation experience modification factor changes? Can you do anything to reduce your Workers Compensation premiums?

Our clients tell us we’ve made a real difference in their business.  Here is a real client case study describing critical issues that we helped resolve.

An employee sustained a back injury while lifting an object out of dumpster.  The employee was off work for over a year at the time we were consulted and the claim was reported on the “unit statistical” report at $95,000 which increased this employer’s experience modification from 82 to 123.  It increased their workers’ compensation premium by $18,000 per year.

We were able to return the employee to work immediately, cut off temporary disability payments, and improve the employee’s morale and self respect.  We also engaged another more qualified medical provider to evaluate the employee and assist with treatment to rehabilitate the employee to even better condition than pre-injury.  Although the case is still open at this time, reserves should be reduced by over $50,000 for this client.

If you have a similar problem, contact Don Dressler at 949-533-3742 to learn more.

Posted in Work Injury, Workers Comp | No Comments »

Part II: Employers Can Control Workers’ Compensation Costs

Wednesday, April 20th, 2011 by Don Dressler

Our April 14th blog was a snapshot of the current scope of workers’ compensation – from the employers’ perspective. This article goes into specifics defining what a “combined loss ratio” is and how rising insurance premiums are significant to your business strategy. Insurance company loss ratio data compares insurer premium income to losses combined with costs of insurer expenses that fund insurance company operations.

Loss ratios are no longer inching up … they’re increasing at a very alarming rate. When the “combined ratio” is significantly over 100, insurers begin to experience financial stress. Ratios up to about 108 can be covered by investment income, but with current low interest rates, investment returns fall way short and drive the insurers to raise their rates.

The 2003-2007 “combined ratio” results in California Workers’ Compensation have dramatically risen. In fact, the increase went to 110 in 2008 and to 127 in 2009. And, 2010 is tracking to be higher when final results are reported.

Based on the trend, we predict that loss ratios will increase in 2010. Unfortunately, these elevated ratios necessitate higher premium rates from workers’ compensation insurers (for employers like you). (Source of data: Workers’ Compensation Insurance Rating Bureau WCIRB).

Workers’ compensation medical costs for “indemnity” workers’ compensation claims (one involving an employee who loses time from work and requires payment of temporary or permanent disability) continues to increase. As you would expect, costs of insurance claims from 2005-2009 have doubled the “combined ratio” results, as seen below (Source WCIRB):

2005
2006
2007
2008
2009
$25,346
$29,584
$34,511
$39,475
$42,613

Summarizing details of over 557,000 claims from many different insurers, the California Workers’ Compensation Institute (CWCI) published a major study in March, 2011. In two years, there was an 18.9% increase, specifically in the payments for medical treatment for workers’ compensation claims. Alarmingly, there was an even higher 33.7% in the cost of prescription drugs and durable medical equipment. (Source CWCI No.11-03).

Employers do have options. They can monitor and manage their worker’s compensation costs by getting involved:

  • Understand the worker’s compensation landscape
  • Understand the worker’s compensation regulations
  • Educate/inform employees about their rights
  • Protect the company and employees
  • Seek advice from an expert if they are unsure if they are compliant

Ask an expert to get you on a realistic course for dealing with workers’ compensation costs.

Don Dressler – dondressler1@hotmail.com

Posted in Work Injury, Workers Comp | No Comments »

Working Safer or Just Working Longer?

Monday, February 21st, 2011 by Don Dressler

The Impact of an Aging Workforce on Occupational Injury and Illness Costs

Growing concern about the impact of an aging workforce on occupational safety and health are partially driven by the baby-boomer impact and, in part, by concerns that injuries to older workers might increase disability costs for workers and workers’ compensation costs for employers.

Frank Neuheuser, Ex. Dir. of The University of California, Berkeley, Center for Study of Social Insurance, conducted an in-depth study in February, 2011, for the Commission on Health and Safety and Workers’ Compensation (CHSWC).  The study examines how older workers’ injury frequency and costs differ from younger workers’ and how this will affect the workers’ compensation system.

Study demonstrates safety of older workers:

Working Safer or Just Working Longer?

Working Safer or Just Working Longer?

Source: 2011 UC Berkeley “Working Safer or Just Working Longer” Study.

To receive a copy of the report or to learn more, please email Don Dressler.

Posted in Health & Safety Commission, Senior workforce, Work Injury, Workers Comp | No Comments »

New California Law Defining Serious Safety Violation

Tuesday, February 15th, 2011 by Don Dressler

On January 1, 2011, California expanded the definition of what constituted a “serious violation” of workplace safety standards, which are enforced by Cal/OSHA. Now, if there is a “realistic possibility” that serious injury could result from a workplace hazard, a serious violation is warranted.  A “serious physical injury” includes:

  • Any inpatient hospitalization
  • Second degree burns
  • Crushing injuries
  • Broken bones

Read the rest of this entry »

Posted in Accident Reports, Safety Plan, Work Injury | No Comments »

Dressler Article “9 Things To Do When Employee Has Work Injury” Published

Thursday, February 3rd, 2011 by Don Dressler

What Are the 9 Things to Do When One of Your Employees Has a Work Injury?

Business: Workplace Safety • Published: January 14, 2011

95% of the costs of a workers’ compensation claim are determined in the first 24 hours after an accident, and almost all of what happens is in the control of the employer. Every employer should have an automatic procedure for how you handle a work injury every time. Any time any employee indicates he even might have an injury or illness caused by his or her job, you and your supervisors and managers should know what to do and follow through immediately.

Read Article

Posted in Work Injury | No Comments »

When is Crossing the Street “Going to Work” …and When is it “In the Course of Employment”?

Monday, December 20th, 2010 by Don Dressler

Last December 31, 2009, Aleshchi Herndon, a city employee of Pasadena, arrived for work about 7:25 a.m., only to find the two City parking lots she normally used were full.

So, she parked on the curb of the nearby street, only to be told by a security guard not to park there due to Rose Parade activities. She did leave her car for 20 minutes or so, went into her office and did some limited office work, took messages, etc., then went back and moved her car to another City parking lot. Only this time, when crossing the street returning to her office, she was hit by a passing truck and injured.

Read the rest of this entry »

Posted in CA State Law, Work Injury, Workers Comp | No Comments »

Costs Heading Up in California Workers’ Compensation

Monday, December 13th, 2010 by Don Dressler

In the latest report on California’s workers’ compensation insurance results, both for this year and for 2009, all indications are that costs are heading up significantly.  For the most recent accident year, 2009, losses are 11% higher as a share of premium than for the prior year, and the highest loss ratio since 2002, which was a financial disaster for the state’s insurance companies.

The total cost of an average “lost time” or indemnity injury workers’ compensation claim is now reported to be $61,664, up 6% from last year. Of this amount, $42,613 on average is for medical costs, and these expenses are up 8% from the prior year.

In contrast, the average premium rate charged by workers’ compensation insurers is up only 1%.

With many employers facing renewal of their workers’ compensation insurance policies on January 1, 2011, they need to be working now with their insurance agents to obtain the best options for the New Year.

Don Dressler

Posted in Accident Reports, CAL/OSHA, Injury Prevention Plan, Safety Plan, Work Injury, Workers Comp | 1 Comment »

Return-To-Work Program … One of The Most Profitable Activities In Which an Employer Can Engage

Monday, November 29th, 2010 by Don Dressler

If an employee has an injury or illness, one of the most effective actions an employer can take is to help the employee get back to full duty working as quickly as possible.  Return to work programs save literally millions of dollars for workers’ compensation programs every year, and due to the experience modification process for most employers, this money returns to them right on their bottom line.

The most common work injury is a strain, and frequently a doctor will give the employee a slip authorizing them to be off work for one, two weeks or more.  This is strange because none of this time off is needed for the employee’s recovery if the employer is advised of proper work limitations to promote healing. In fact, workers heal quicker when they return to the job with the proper supervision, know that they are valued as employees, and, keep up their general morale and fitness.

Statistics indicate that there is a 30% chance that injured employees who do not immediately return to work will never return to their jobs.  Temporary disability benefits can easily cost $50,000 or more over a two-year period, and these benefits can increase an employer’s workers’ compensation costs by $100,00 or more over the next three years.

Don Dressler – For a “Return-to-Work” Program outline, just e-mail: DonDressler1@hotmail.com

Posted in Accident Reports, CAL/OSHA, Injury Prevention Plan, Safety Plan, Work Injury, Workers Comp | No Comments »

Company Cell Phone Policy – Time to Pay Attention!

Monday, October 25th, 2010 by Don Dressler

You need to take a hard look at your company policy regarding employee use of cell phones. Of course California and a number of other states have laws regulating cell phone use (and text messaging) while driving, but the concern is greater than that.

The U.S. Department of Transportation (USDOT) has overwhelming statistical evidence that distracted driving is a major cause of vehicle accidents. Some observers suggest the denial of workers’ compensation benefits to cell phone users injured in work related vehicle accidents may become a major incentive to create a safer work environment. USDOT is leaning toward banning all use of cell phones by drivers.

Employers have become increasingly concerned over employee “cognitive distraction” caused by the use of cell phones in motor vehicles. Methods of enforcement will include the use of traffic cameras as the system already has the capability of detecting drivers who are using telephones while driving.

Also, telephone billing records produced post accident can be used to corroborate the fact that an employee was using a telephone while working, when an accident occurred.

Employers – who do not enforce a ban on cell phone use will have significant legal liabilities as a result.

Email me at DonDressler1@hotmail.com for suggested policy language on use of cell phones while driving.

Posted in Accident Reports, CA State Law, Safety Plan, Work Injury | No Comments »

How Do You Find the Right Physician for Workers’ Compensation Injuries?

Monday, October 4th, 2010 by Don Dressler

Finding a good doctor to treat work injuries is key to controlling workers’ compensation costs and avoiding workers’ compensation fraud.  But it is not always easy to do.

One Southern California employer was recently looking for a physician to treat an employee with a low back strain, but found that the list of doctors from his workers’ compensation insurer was almost useless.  Many of the doctors on the list were either out of business, not accepting new patients or not experienced in occupational medicine.

But, there is help available.  The American College of Occupational and Environmental Medicine has just published “A Guide to High Value Physician Services in Workers’ Compensation – How to find the best available care for your injured workers.”

Many studies show that there is a wide variation in the quality of medical care available to treat workers injured on the job.  Often people treated in the workers’ compensation system take longer to recover and at much greater cost than those treated through “normal” medical systems.

Let’s face it, almost all employees want timely, courteous and effective medical care when they are injured, that helps them return to health as quickly as possible with the least discomfort.  For employers, good medical results means getting workers back to work in the most time-effective manner possible with the best long-term health outcomes.

You can download the entire Guide American College of Occupational and Environmental Medicine, which also contains a Doctor Finder on the site.

Posted in Accident Reports, Work Injury, Workers Comp | No Comments »

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