Believe it or not, the cost of Miami workers’ compensation insurance is within your control. By taking some time to understand how the system works, how your premiums are calculated, and what options are available, you’ll be able to keep your payments at a reasonable cost. Implementing a company-wide safety program that reduces the number of workers’ comp claims can pay off in lower premiums.
You need to make sure that your employees have, and use, appropriate safety equipment where needed. Inspecting facilities for safety hazards and looking for other ways to stop accidents before they happen is also recommended. For example, training people in the correct way to lift heavy objects, since back injuries are common to workers’ comp claims, or the right way to work on their computers that will help to reduce claims for repetitive stress injuries.
Make sure your classification is correct
Check that your company and employees are properly classified, since misclassification is one of the most common reasons for overpaying on workers’ comp costs. Non-hazardous jobs have much lower rates than hazardous ones, so if you misclassify even one worker into a high hazard job, your total premium may increase significantly.
Your workers’ comp premiums are usually based on your regular payroll figures, excluding overtime. Florida may allow you to deduct overtime pay to straight time for the purpose of figuring your payroll, but you should check with the state office of employment to see if those guidelines are correct.
An experience rating compares your company’s claims history to that of other firms in your industry. The higher your claims, the more risky you will be to insure, thus the higher your premiums. Make sure your insurance company is calculating your experience rating correctly. You can analyze your rating using worksheets, which are available from the National Council on Compensation Insurance (NCCI), Boca Raton, FL.
Finally, the quicker an injured worker returns to work, the lower your disability claims costs may be. You may need to modify the injured worker’s assignment (or put him or her on light duty), but that’s a small price to pay for helping an employee return to work. Early-return-to-work programs can also be big morale boosters since many injured workers are often afraid of being displaced or forgotten.
Speak with your Miami workers compensation insurance agent about finding a plan that uses managed medical care to treat injured workers. Most states allow HMOs, PPOs and other managed-care providers to handle workers’ comp claims.