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Hospice provider heals its ailing MOD


A hospice caregiver with 340 employees.


This non-profit company had its Experience MOD, which typically hovered around the 1.08 mark, suddenly rise to over 1.12.


Certified WorkComp Advisors (CWCA) discovered that the 08-09 policy term was with a "Non-Subscribing" Work Comp Claims Fund. Therefore, since this Fund was not a "subscriber" to NCCI, the loss information for that one policy term was not being used in the calculation of the MOD. Since this was a particularly favorable year, its exclusion was adversely affecting the MOD. Inclusion of the policy year would lower the MOD 6 or 7 points.

In addition, CWCAs discovered a substantial subrogation settlement on one claim that could be used to lower the amount reported to NCCI.


The CWCA sent the data via an ERM 6 form to NCCI. The corrections were made and the lower MOD was calculated. This action also enabled the company to receive a "refund" for the overpayment of WC premium for the two following years, which also impacted the third year after the 08-09 policy term.

Moreover, a substantial subrogation settlement on one claim of nearly 70% was recovered from the at-fault auto insurer. This allowed the claim to be reported to NCCI at a much lower dollar amount.


Within two years of this action, the company saw it's Experience MOD drop from 1.12 to a low of 0.96, with a total savings in Work Comp premiums of $17,974.