WorkComp Advisory
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Real estate client saves $176,000 and lowers Experience Mod

A large residential property company with more than 5,800 units encompassing 46 high-rise buildings and over 153 acres.

The company was using a large insurance agency/broker that was lax in managing the company’s claims, resulting in a high Experience Mod of 1.65. The broker was not pro-active in managing past claims; no annual modification or claims reviews had been done since 2002. With a breakdown in communication and a sense that service was inadequate, the customer approached Certified WorkComp Advisors (CWCAs) to review the policy and examine the claims.

CWCAs entered the Mod worksheets into the Modmaster software to compare company loss-runs with the claims on the Experience Modification worksheet, studying different claim situations and claim changes to identify problems.

The CWCAs were able to document a number of errors that resulted in a revised Experience Mod from the past two years on some claims, and as far back as six years on others.


The work resulted in credit revisions for the 2002, 2003, 2008 and 2009 policy years. The 2002-year had two claims settled, which lowered the Mod from 1.65 to 1.56, saving $73,003. The 2003-year had three claims that were adjusted, reducing the Mod from 1.78 to 1.65, saving $84,245. In 2008, there were two claims from 2006 that closed for $0, plus two clerical errors, which brought the Mod down from 1.26 to 1.23, returning $14,773. And for the 2009-year, there was one claim adjusted, resulting in a lowering of the Mod from 1.33 to 1.32 and a savings of $4,602.

Overall, the CWCAs were able to save more than $176,000.