Secure Big Savings Workers Comp Insurance Secrets Revealed
Understanding Experience Modification Rate (EMR)
The Experience Modification Rate (EMR) plays a significant role in determining your workers' compensation insurance premiums. An EMR below 1.0 indicates better-than-average claims experience, which can lead to lower premiums. Conversely, an EMR above 1.0 indicates higher claims experience and can increase your costs. By implementing effective risk management practices, you can improve your EMR and, subsequently, reduce your insurance premiums2.
Leveraging Return-to-Work Programs
Return-to-work programs are another effective way to manage workers' compensation costs. These programs help injured employees return to work in a modified or alternative capacity while they recover. This approach not only reduces the duration of claims but also helps maintain employee morale and productivity. Studies have shown that businesses with return-to-work programs can see a reduction in their workers' compensation costs by up to 25%3.