Used to calculate your annual workers comp premium, experience modification (X-mod) factoring often frustrates employers. This is particularly true when experience mod consulting with a workers comp insurance agent during valuation leads to higher rates. How can you seek out ways to better understand this data and take control of this important cost driver?
Digging Deeper into X-Mods Can Pay Huge Dividends
It doesn’t require a ton of work. But it does require consistent effort and attention to detail to get the results you’re looking for from your experience mod consulting agent. What’s the trick?
The right data
Accurate payroll is essential. Understated payroll inflates X-mods, as term losses (the numerator) will apply less payroll (the denominator).
Getting copies of loss runs from your agent can help you weed out claims impacting your X-mod that may not be yours, as well as those that may have been subrogated, settled or returned to work, greatly affecting your X-mod calculation.
If your X-mod is high, tell your agent what you’re doing to make improvements, being as detailed as possible. This could earn you credits to offset X-mod impact.
A team mindset
Strive for contact within 24 hours of injury. Starting out on the right foot with injured workers, showing you care about their care and well-being, builds a positive foundation and can drive return-to-work motivation.
Businesses that bring employees back to work more quickly via modified work positions benefit from reduced claims impacts.
A culture of safety
Employees appreciate a business that cares about their well-being, and respond in-kind.
Painful experience mod consulting experience? Minnesota Comp Advisor can help. Contact us today.