CWCAs unbundled costs and save contractor $25,000
A midsize masonry contractor.
The masonry contractor was using a PEO (Professional Employer Organization) and was concerned what it was paying for Workers’ Comp was higher than that of its competitors. It was difficult for them to determine their rate because the payroll taxes, Workers’ Comp and additional fees were combined.
Certified WorkComp Advisors (CWCA) analyzed the PEO invoice and broke out the payroll taxes, fees and Workers’ Comp costs. It turned out that Workers’ Comp came to $59,000 a year. The CWCAs requested payroll data and loss information and calculated the Experience Mod at .95.
The CWCAs marketed the Workers' Compensation and secured a rate of $34,000. Recognizing the importance of making smart hiring choices to avoid future losses due to poor hiring practices, the CWCAs worked with the contractor to develop rigorous and effective hiring practices.
The CWCAs were able to use their expertise in Human Resources and Workers’ Compensation to assist the contractor in understanding its costs and secure a savings of $25,000 per year.