Lonnie L. Spikes Jr., PHR DOL L&I Claims Administrator Revised: 03/26/2008 HERO! (OR HOW WE CAN SAVE THE AGENCY THOUSANDS IN L&I PREMIUMS)

HOW IT BEGAN…

~ PREVIOUSLY… ~ What are the primary elements determining how much DOL will pay for Industrial Insurance Premiums?What are the primary elements determining how much DOL will pay for Industrial Insurance Premiums? Do all state agencies and their employees pay the same amount of premiums?Do all state agencies and their employees pay the same amount of premiums? What type of injuries results in the most claims for DOL?What type of injuries results in the most claims for DOL? What can we do?What can we do? How and when do we measure success?How and when do we measure success?

HOW AND WHEN DO WE MEASURE SUCCESS? We will have an estimated experience rating for year 2009.We will have an estimated experience rating for year We can compare current rate (2008) against future rates (2009).We can compare current rate (2008) against future rates (2009). We will be able to tell if we saved the agency and its employees money for 2009.We will be able to tell if we saved the agency and its employees money for 2009.

. If past accident costs are low…we would expect future costs to be low. Hence charging lower premium rates. Past predicts the future……. Remember, Experience rating provides an economic incentive to prevent accidents. PURPOSE OF EXPERIENCE FACTOR

CRUCIAL FACTORS (determining exp. factor) Claim Frequency Claim Severity How Much? How Many?

2008 EXPERIENCE RATING

$604,609 Premiums for 2008 since 05/14/08

2009 EXPERIENCE RATING 1.4____

ESTIMATED PREMIUM PER QUARTER FOR 2009 $250,000

WHY?

CRUCIAL FACTORS (determining exp. factor) Claim Frequency Claim Severity How Much? How Many?

FOR RATING YEAR 2009 DROP FY2004, PICK UP FY2007 FY 2004, 2005, Exp. rating for 2006 Calendar year 2008 FY 2005, 2006, Exp. Rating for 2007 Calendar Year 2009 $756,339 $597,261

WHAT HAPPENED IN FY2007?

FY2007 SOURCE OF INJURIES MVAs 21% [23] MSDs 47% [48] Other 13% [12] Slips, trips 21% [23]

FY2007 COST OF INJURIES MVAs = Motor Vehicle Accidents MVA 33% (Non-MVA) 67%

HOW ARE WE DOING FOR 2008?

MVAs 24% [5] MSDs 47% [10] Other 5% [1] Slips, trips 24% [5] SOURCES OF INJURY SINCE 05/14/2008 ending 09/30/2008 MVAs = Motor Vehicle Accidents

COSTS OF CLAIMS SINCE 05/14/2008 ending 09/30/ % [$472,886] 17% [$97,564] MVA Non-MVA $1,689,026 MVAs = Motor Vehicle Accidents

SINCE 05/14/2008 TOTAL LOST DAYS TOTAL LOST DAYS TOTAL RESTRICTED DAYS TOTAL RESTRICTED DAYS 73 73

NOW WHAT?

BACK TO BASICS…

PREVENTION OF CLAIMS &MANAGEMENT OF THE INJURED WORKER

PREVENTION OF CLAIMS How can we integrate office Ergonomics?How can we integrate office Ergonomics? –Institute ergonomics and accidents in NEO – –Training – low-cost or free (agency may be given credit by L&I) – –Internal focus area Hazard identification? – –Workplace tasks – –Environment – –Lifting tasks Anything more??Anything more??

How and when will our efforts be judged?

We monitor accident data by division, location and type of injuries.We monitor accident data by division, location and type of injuries. Follow-up on data by month, quarter, yearFollow-up on data by month, quarter, year Train employees on hazard identification.Train employees on hazard identification. By March 15 th, we will have a premium figure for 1 st QTR 2009.By March 15 th, we will have a premium figure for 1 st QTR We compare 1 st QTR 2009 against 1 st QTR 2008.We compare 1 st QTR 2009 against 1 st QTR We will be able to tell if we are on the road to recovery.We will be able to tell if we are on the road to recovery. NOW WHAT?

we can be… HEROES!! All of us are involved in saving the agency and its employees money! For a more in-depth presentation: Lonnie L. Spikes Jr., PHR Lonnie L. Spikes Jr., PHR DOL L&I Claims Administrator DOL L&I Claims Administrator