Transcript Loss Control Programs, Incentives and Credits

Risk Control and
Incentive Programs
Rick Hudson
Sr. Risk Control Consultant
Willis Pooling Practice
Risk Control and Incentive Programs
Objectives
• Benefits of a Risk Control Programs
• Risk Control & Incentive Programs…Some Ideas
• Additional Risk Control and Safety Ideas
Risk Control and Incentive Programs
REGULATORY COMPLIANCE PROGRAMS
VS
RISK CONTROL PROGRAMS
Risk Control and Incentive Programs
• Protects
– People
– Income
– Property
– Assets
– Time
– Public Image
– Environment
• Prevents and Reduces Legal Liability
Risk Control and Incentive Programs
“Trees Die at the Top”
Peter Drucker
Top Management Commitment
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County Commission
County Manager
Department Managers
Department Supervisors
Risk Control and Incentive Programs
• Safety Committees
• Injury Management (Early Return to Work)
• Motor Vehicle Operator Program
• Drug Free Workplace
• Risk Management Grants
• Loss Control Incentive Programs
Safety Committees
Safety Committees are instrumental in developing and
administering in-house and outside risk control programs,
and incentive programs.
–Expertise
–Leadership
–Communication
Injury Management (Return to Work)
• Reduced Claims Costs
• Reduce Workers’ Compensation Costs
• Discourages Fraudulent Claims
• Positive Workplace Morale
• Reduced Employees Turnover
Motor Vehicle Operator Program
• Qualify and Hire the “Best Drivers”
• Vehicle Use Policy
• Limit Liability
• Reduced Auto Rates
• Reduced WC Rates
• Easy to Monitor
Drug Free Workplace Program
• It is estimated over one hundred billion dollars each year is
spent on the consequences of substance abuse in the
workplace
• Costs include absenteeism, accidents, equipment damage,
and increased medical costs and insurance premiums.
• Research indicated that health insurance costs for employees
with alcohol problems are approximately twice those of other
employees
• Employees who abuse alcohol or drugs have two times as
many accidents, three times as many vehicular accidents,
and use three times as much sick leave as those who do not.
Drug Free Workplace Program
Local Government Insurance Pool (Tennessee)
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Pre-Employment Testing
On-the-Job Injury
Random Testing (CDL or Safety-Sensitive Position)
Reasonable Suspicion Testing
5% WC Discount for members certified as a Drug-Free Workplace
Risk Control and Claims Verifies Compliance
Lightning and Surge Protection
Program
CORSA (Ohio)
Reduction of Lighting and Electrical Surge Losses
A.
– No Cost On-Site Lightning/Surge Evaluation with Detailed Report.
– Member Installs Equipment that Meets or Exceeds Evaluation
Recommendations.
– CORSA Will Waive the Property Damage Deductible in the Event
Lighting and Electrical Surge Loss
B.
– No Cost On-Site Lightning/Surge Evaluation with Detailed Report.
– Grant Program to Fund the Cost of Equipment and Installation.
– Member Pays for the Property Damage Deductible in the Event
Lighting and Electrical Surge Loss
Risk Management Grant Program
NPAIP/PACT (Nevada)
The program may award members up to $10,000
Examples of potential grant uses include:
– Attending a risk management seminar or conference such as
AGRIP, PRIMA, PARMA, CJAPA or PERI Institute.
– Purchasing equipment that promotes employee or premises
safety.
– Purchasing equipment or materials that facilitate OSHA or
other regulatory compliance.
– Risk management training
– Other enhancements to risk management programs
Loss Control Excellence Program
NPAIP/PACT (Nevada)
The Loss Control Excellence Program involves a rigorous review of
the member’s policies and procedures geared towards the reduction
of loss. Members who complete the program receive a cash award
and a plaque representing their commitment to implementing
effective loss control measures.
– Counties
– Schools
– Hospitals
The program may award members up to $3,000
County
Loss Control Excellence Program
Sections –
I.
Loss Control Organization
II.
Employment
III. Vehicle Fleet
IV. Law Enforcement
V.
Fire Services
VI. Parks and Recreation
VII. Streets and Roads
VIII. Utilities
IX. Fiscal Controls
Loss Control Incentive Program
PComp and PCoRP (Pennsylvania)
A program that recognizes loss control activity. A premium discount
is available for satisfactorily completed or implemented items. Lack
of positive loss control activity will cause a debit or surcharge.
Loss Control Incentive Program
PComp
Criterion for Credit
– 1% Safety of Loss Control Program
– 1% Timely Claims Reporting
– 1% Return to Work (RTW) Program
– 1% Human Resources Management
– 1% Education and Training
Loss Control Incentive Program
PCoRP
Criterion for Credit
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0.5% Credit – Education & Training
0.5% Credit – Sexual Harassment
0.5% Credit – Prison Policy Review
0.5% Credit – Prompt Claims Reporting
0.5% Credit – Vehicle Safety Program
0.5% Credit – Driver History Program
0.5% Credit – Embezzlement Control
Risk Control and Incentive Programs
Final Thoughts
• Webinars
• E-Learning
• Newsletters
• Bulletins
• Training Videos
• Training and Education
• Consultants
Risk Control and Incentive Programs
Thank You