Workers' compensation loss prevention representative contact and risk of lost-time injury in construction policyholders

Abstract

Reduction in lost-time injuries, resulting in reduced workers' compensation costs for policyholders and insurance companies, builds a business-case for safety and injury prevention. LP reps are often a low or no-cost benefit for insurance policyholders and may be an important injury prevention resource for small firms and/or those with lack of safety resources and staff.

The Impact of a State-Based Workers’ Compensation Insurer’s Risk Control Services on Employer Claim Frequency and Cost Rates

“…12,28,29 In addition, it is also consistent with these earlier studies' findings that increased quality and frequency of service visits could further reduce WC claims to a degree before there are diminishing returns. 12,22,28,30 Schofield et al 28 is the most comparable prior study in terms of study design, scale, and timeframe. The study evaluated the impact of repeated, voluntary RC consultation services provided by a single insurer on employer WC claims experience over a 5-year period among 1360 construction industry policyholders.…”

“…22,23 There is some evidence that WC insurer-supported intervention engineering controls programs reduce WC claim frequency and cost 8,24,25 and reported employee symptoms 26 and that WC insurer health risk management programs can improve employee health and productivity. 27 There is also some evidence from a small number of studies that WC insurer RC onsite consultative services can reduce future WC claim frequency and costs 12,22,[28][29][30] and that states with required RC insurer services have lower injury rates. 23 There are also a few related studies that have investigated the effectiveness of OSHA compliance and consultation visits [31][32][33][34][35][36][37][38] that have found such activities can reduce future workplace injuries and illnesses.…”

Small Business Total Worker Health: a Conceptual and Methodological Approach to Facilitating Organizational Change

“…Chambers of commerce, regional business coalitions, industry, trade, and labor organizations provide assistance, education, and networking opportunities for businesses and worker organizations. Safety consultation services from the Occupational Safety and Health Administration (OSHA) or workers’ compensation carriers (Schofield, Alexander, Gerberich, & MacLehose, 2017) can help small businesses develop their safety programs, admittedly with a primary focus on safety as they rarely integrate health promotion programs. Local safety organizations can also provide access to knowledge, safety vendors, and peer mentoring.…”

Different Market Methods for Transferring Financial Risks in Construction

“…A study by the National Institute of Occupational Safety and Health (NIOSH) has documented that construction industry workers experience higher rate of fatalities and injuries and higher amounts of lost work, increased WC claims and disability than the other industries. Additionally, smaller construction firms are worse, with firms having less than 10 employees being responsible for half the fatal injuries while only comprising a fourth of the construction industry [7] All USA states (and most countries in Europe) have workers' compensation laws, and purchase of workers' compensation insurance to fulfill the statutory requirements of the WC laws is required in all USA states except Texas.…”