Workmans comp general liability insurance questions.

[twistedmidnite]

We've been paying about 7% of labor to workmans comp insurance. We've got some pretty sizable contracts about to start and the labor is pretty high. What is everyone else paying for this insurance and is there anything we can do to get the % down. Thanks.

[Copanocruisin]

Just my .02 thoughts. If your EMR (Experience Modification Rate) is over 1.0, getting it below that will help. It is a metric that insurers use to calculate worker's Compensation premiums. It takes in account the number of claims/injuries a company has had in the past and their corresponding cost. An EMR of 1.0 is the benchmark average. Lowering the EMR doesn't happen over night. It takes a serious management commitment to improving safety and reducing employee injuries. And when injuries does happen, very proactive injury case management is needed. The Texas Occupational Health and Safety Consultation program is a free and confidential service to private Texas employers through the Texas Department of Imsurance. Not associated with OSHA). I definetly am not no expert although I have been working in the industrial field for going on 50 years with the last 26 years in the safety field. Back when I went into the safety field for a friend that had a small growing industrial construction and pipeline company, their EMR rating was 1.85, four years later it was a .65. It turned out to be a tremendous reduction in workers comp rate for the company. Please keep in mind that it was not easy or cheap to make a change in a safety culture for an industrial contractor with about 100/125 employees. Also, in the industrial world, contract awards take in consideration the EMR. I could go on forever, but not knowing the details it is all just generalities at this time. Just saying.....cC

[Copanocruisin]

Also another thought. Work with your insurance agent to make sure you employees are properly classified. Not fact but just for an example, the insurance classification for millwright is less cost than that of a welder. Just saying again.....cC

[twistedmidnite]

We've been in business for 2 years and have had 0 claims. It just makes me sick to pay $20,000+ in insurance for a 2-3 month job and not use it. Your name makes me chuckle because I'm sitting in Rockport right now.

[stevieray54]

Look into becoming self insured

[wellingtontx]

Copanocrusin - gave a pretty good summary. Talk to your agent - shop for insurance.

There are some insurance and legal tricks that small construction companies use to help bid jobs if certain aspects of their jobs have a high MOD. Got to work to keep your MOD as low as possible.

Bid and work on OCIP projects if possible.

[krisw]

What are you doing?

[twistedmidnite]

What are you doing?

This particular job is a brick and stone job. Don't remember exactly but if memory serves me its about 20,000 brick and about 27-28,000 sq of stone.

[twistedmidnite]

I misspoke, its 120,000 brick and 26,000 sq ft of stone.