This is going to come as a surprise to many of you. Insurance companies really don’t pay for Workers Compensation claims, YOU DO! How is this possible? You see, Workers Compensation insurance acts almost like a tax on your injuries. What employers often times do not understand, particularly on their smaller claims, is that they may be paying as much as four times the amount of the claim directly back to the insurance carrier in premium expense. This does not even take into account the indirect expenses tied to any claim. The way the insurance industry does this is through the Experience Modification and in some states the ARAP. Experience Modification is the measure of the frequency of any given injury and the Assigned Risk Adjustment Program (ARAP) being the measure of the severity of any given injury. So what does this mean for you as an employer? It means that there is a lot of value in having FBinsure’s trained Workers Compensation Certified Representatives helping you to manage the claim and injury process. For more information on how you can improve your process and ultimately your bottom line, give our specialists a call for a free discussion on whether or not you qualify for our Risk Reduction program.
