The Benefit of Safety Plans
Many employers disregard the positive effect a safety plan has on their workers compensation program. They chalk it up to too much trouble to design, not enough time to implement and to costly to maintain. Well just the opposite is true.
A safety plan works because it will improve the bottom line cost of doing business. Effective safety plans lower injury rates and can result in a lower cost of worker’s compensation insurance due to lower experience modification factors. Preventing injuries means less time the employer must spend recruiting and training new hires. A safety plan will help keep your employee safe and on the job.
An effective safety plan may also qualify an employer for workers compensation premium credits. These credits may be in the form of formal credits as offered through your state or those specifically applied to your policy by an insurance company. The effect of credits applied to an employers workers compensation policy is to lower the premium paid. Any credit an employer can qualify for will help keep his/her cost of workers compensation insurance in check!
I've touched on just a few of the many ways a safety plan can be a positive impact on an employers overall work comp cost. From direct cost savings, like the application of premium credits, to those indirect savings like improved employee moral due to a safe and healthy work environment, the benefits of a safety plan are clear for the employer.
An employer has many resources at his disposal to assist in the design and implementation of a safety plan. Programs may be available directly from your state department of insurance, department of labor or through your insurance company. So as an employer, take advantage of all the options made available to you for eliminating workers comp claims and keep some of that premium in YOUR POCKET!
This article is brought to you by WorkCompConsultants.com, an independent workers compensation consulting firm dedicated to helping employers prevent and resolve work comp issues.