Presentation on theme: "Dennis J. Powers Jr. AIC, ARM, CPCU Lamb, Little & Co."— Presentation transcript:
Dennis J. Powers Jr. AIC, ARM, CPCU Lamb, Little & Co.
Hard Market Soft Market
Hard Market Focus on Profitability Premiums Increase Don’t Like Risk
Soft Market Focus on Growth Premiums Decrease Underwriters Appetite Is More Aggressive
Insurance Programs Guaranteed Cost Loss Sensitive
A classic method of risk transfer: You pay the carrier premium to cover your claims.
Pro: Your cost is fixed, regardless of claims experience. Con: You flex with the marketplace and the status of your industry’s loss history. Pro: Your cost is fixed, regardless of claims experience. Con: You flex with the marketplace and the status of your industry’s loss history.
Exposure/100 x Rate = Manual Premium 10,000 x 5.02= $50,200
Review Your Claims for Accuracy Utilize Loss Control
This is where all the companies are going to be different. The more you bring to the table, the more aggressive you can be. This is where all the companies are going to be different. The more you bring to the table, the more aggressive you can be.
Claims Mgmt: Early Reporting Accident Investigation Return to Work Loss Control: Documented Safety Program Documented Training Program Loss Assessment Report
George M. Canavan, AIC Lamb, Little & Co.
Medical Benefits Temporary Total Disability Permanent Partial Disability Penalties
Delay in Reporting Can Be Expensive Threat of Litigation Slows Down Claims Investigation
Provides You Control Provides Significant Savings Conveys the Right Message to Workforce
Per NCCI, the median incurred cost of a WC claims exceeding more than 7 days of lost time from work is $31,600. Claims under 7 days of lost time, the average claim is <$10,000.
Why Conduct A Claim Review?Who Participates In a Claim Review?When Are Claim Reviews Done?
Designated Claim Handler How Do Employees Report New Claims? Accident Investigation Subrogation Investigation Time Sheet Initial Explanation of Claims Process/Benefits to Emlployee Claim Reporting to Insurance Carrier Initial Medical Care Internal Claims Management Procedures Supervisor/Management Training Return To Work Programs Establish Special Claim Handling Instructions