Am I Big Enough To Self-Insure?

Written by on 4/4/2016 3:14 AM in , . It has 1 Comments.

Workman's comp insurance is well suited for self-insurance, though this may not be the right move for every organization. Careful consideration must be given to determine whether self-insurance is a good fit for you. Decisions should not be made by a single individual, risk manager or owner. A host of factors must be considered, without which, the chances of success are minute…

  • Financial condition.
    Does your organization have the financial resources to fund startup costs as well as upkeep and future claims? A strong cash flow and substantial cash reserves are essential to handle the large fluctuations associated with self-insurance. Checking your state’s minimum net worth requirements for self-insurance first may prevent wasted energy.
  • Management commitment.
    Are managers prepared to handle the long-term commitment necessary, trading known risk for unknown risk? Are managers willing/prepared to be proactive and hands-on in claim prevention? Will the decision be amicable to customers, business partners, and stockholders?
  • Cost and availability of internal and external support systems.
    What can your organization handle in-house? Responsibilities that must be outsourced to the expert or informed can quickly add up to big money. Can you identify and economically utilize internal resources for these services?
    • Pricing negotiations with medical service providers
    • Cost projections for current – and future - claims
    • Medical and legal claims evaluation and processing
    • Development and implementation of safety and loss control programs
  • Characteristics of exposure.
    The state(s) in which you operate can play a key role in your decision. State requirements vary, and multi-state organizations can incur significant administrative costs.

Exploring alternatives to workman's comp insurance? There’s more than one way to save. Consult the experts at Minnesota Comp Advisor today.


Got something to say? Join the discussion »
  1. yanxia39's avatar yanxia39 ray ban eyeglasses skechers outlet pandora charms goyard backpack harden vol 1 pandora jewelry pandora jewelry official site nike air max 90 michael kors purse louboutin moncler jacket mens birkenstock sandals supreme shirt swarovski rings bvlgari wallet ralph lauren polo shirts lebron 15 huaraches Salomon Speedcross 3 yeezy adidas superstar shoes pandora rings kevin durant shoes true religion jeans for women new balance running shoes women red bottom shoes nike kyire fitflop sandals yeezy pandora jewelry nike kyrie adidas originals ultra boost air max 97 silver bullet jordan 11 jimmy choo trainers pandora bracelet stephen curry curry shoes nmd adidas adidas nmd mcm backpack ecco mens shoes birkenstock shoes huarache shoes yeezy fitflop air max 90 ralph lauren dresses nike vapor max burberry purses pandora jewelry mulberry bag longchamp backpack valentino shoes adidas nmd r1 nike air max swarovski jewelry salomon speedcross 3 moncler coat nike air max 97 goyard bag cartier glasses air vapormax nike air max 95 chrome hearts sunglasses salomon speedcross 4 jordan 11 space jam chrome hearts bracelet fitflop sale lacoste shirts michael kors handbags balenciaga sneakers ralph lauren, polo north face jacket nike air max 95 lebron ugg mont blanc outlet true religion kate spade purses hermes belt ray ban kate spade purses burberry bags burberry wallet barbour wax jacket salvatore mulberry sale pandora rings louboutin shoes louboutin adidas yeezy barbour jacket Yeezy under armour outlet pandora uk mbt mens shoes yeezy boost 350 asics womens shoes jordan retro moncler jacket jordan 11 nike air max 95 rihanna fenty puma supreme jacket moncler jacket Pandora nike air max nike air max 270 women mcm wallet moncler jacket nike kd prada handbags coach skechers uk salvatore ferragamo pandora jewelry chrome hearts jewelry uggs for men air max 2018 adidas trainers oakley glasses Hermes Birkin Bags ralph lauren nike air max 95 mens adidas nmd r1 air max 97 nike air force 1 adidas originals ultra boost skechers outlet oakley eyeglasses north face outlet coach handbags uggs for women kd shoes prada bags nike air max balenciaga yeezy boost 350 v2 celine,celine bag air max 97 yeezy boost nike air max 95 uggs for men jordan 11 nike air max 270 moncler coat pandora jewelry ray ban glasses kate spade wallet jordan 11 nike vapormax asics ray ban prescription sunglasses ed hardy shirt longchamp backpack salomon shoes fitflop shoes
    Reply 8/2/2018 12:25 PM

Leave a Reply

 [Quick Submit with Ctrl+Enter]

Remember my details
Notify me of followup comments via e-mail