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New Workers' Comp program makes cutting Experience Mod for Day Care client like child's play


This chain of 57 day care centers located in three states, services more than 6,000 children. The company has 2,000 employees and annual revenues in excess of $28 million.


Certified WorkComp Advisors (CWCA) became alerted to the fact that at 2.7, the company had the highest Experience Mod rating of any company in its classification code. Executives at the company couldn't understand why it was so high or how to get it under control.


After reviewing all files, claims reports and internal reporting procedures, it was discovered that the company was relying heavily on the carrier to oversee all claims, which it was unable to handle due to its heavy workload. Consequently, there were 23 open claims on the books. This was compounded by the fact that there was no return-to-work program and most injuries were being treated at a local emergency room with physicians who had no occupational medicine training.


Several Certified WorkComp Advisors (CWCAs) developed a comprehensive risk management plan. Examination of existing claims led to the quick closure of 17 of the 23 open claims, with four of the remaining six under investigation for possible subrogation.

An incident reporting and investigation package was implemented that included detailed procedures for reporting injuries and specified to whom the employees should go to for initial medical evaluations. It also identified "light duty" jobs. Safety initiatives were established to help prevent losses. Safety audits were conducted with the facility managers in 52 of their 57 locations to improve their safety awareness and the other five locations are presently being addressed.

Key personnel completed 2.5 hours of "supervisor training" for all Academy Directors and Area Business Managers, along with a two-hour review session at the Annual Director's meeting. The CWCAs conducted a follow-up three-day "Train the Trainer" session for defensive driving and developed and implemented a new driver-training program for all operators. They are also working on developing an Accident Review Board so that all fleet accidents can be reviewed. Findings will be tied to disciplinary action. A Blood Borne Pathogens Program was implemented and used to train three trainers.


Once the open claims were closed and the staff had been properly trained, the company began to see immediate results in the reduction of both incidents and its Workers' Compensation insurance premiums. CWCAs began work with the company in June 2010. During the first half of 2010, the company had already amassed $431,000 in Workers' Comp claims and 61 incident reports. From June 2010-June 2011, CWCAs reduced the company's Workers' Compensation expenses to $14,700 with only 14 incidents of injury, while also reducing the Experience Mod to 1.8.