Landscape Contractor
Sprouts a $104,000 Refund
Insured
This major landscape contractor servicing commercial properties employs
120 people and does $1.9 million in annual revenues.
Situation
A year after purchasing the company, the insured was concerned why, as a
relatively new business, its Experience Mod was extremely high at 1.39,
with annual premiums in excess of $400,000.
Assessment
Certified WorkComp Advisors (CWCAs) conducted a complete needs analysis
on the company, running the gamut from human resources to claims filing.
The insured was unaware of how the system worked in regards to ownership
changes and it was discovered that the insured had actually inherited the
previous owner’s high Experience Mod. Significant aspects of the operation,
including the discontinuation of tree trimming, had changed.
Solution
Utilizing techniques and information garnered at the Institute of WorkComp
Professionals, the advisors did a thorough investigation of ownership laws
and deduced that the insured should not have inherited the previous owner’s
excessive Mod rating. Appropriate paperwork was filed with the rating bureau,
and the Workers' Comp Insurance Rating Bureau agreed on the findings.
Result
After the successful filing with the bureau, the insured’s Mod was
adjusted and lowered to 1.0 and a refund of $104,000 in premiums. |