UNDERSTANDING EXPERIENCE MODIFICATION RATINGS FOR WORKERS’ COMPENSATION

MOD EXPERIENCE

A quick guide to understanding the NCCI Mod Rating worksheets.

Experience Modification Rating (EMR) in a Nutshell:

The EMR is a number used to adjust insurance premiums, based on a company’s past workplace injury claims.

The Experience Modification Worksheet:

The NCCI Experience Modification Worksheet is a tool used by the National Council on Compensation Insurance (NCCI) to calculate an experience modification factor (EMF) for workers' compensation insurance premiums. The EMF reflects a business's claims history compared to other businesses in the same industry. It considers factors such as the frequency and severity of workplace injuries and illnesses. A lower EMF generally indicates better safety practices and can lead to lower insurance premiums, while a higher EMF may result in higher premiums.

What's in the Worksheet:

• Basic Info: Company details like name, address, and policy number.

• Policy Period: The timeframe for calculating the EMR, usually spanning three years.

• Claims Data: Details of each workers’ comp claim, including date, type, and amount paid.

• Expected Losses: Predicted losses based on industry standards.

  Calculating Expected Losses Formula

  Expected Losses = Payroll Divided by 100 x ELR column

• EMR Calculation: Formula comparing actual losses to expected losses.

• Impact on Premium: EMR affects how much a company pays for insurance.

Using the Worksheet:

• Know Your Numbers: Understand your claims history and EMR to manage costs.

• Spotting Errors: Check for inaccuracies that could affect your EMR and premiums.

• Appeal if Needed: If you think there's a mistake, there's a process for disputing it.

NCCI Mord Worksheet Correction:

To apply for a correction to the NCCI Experience Modification Worksheet, a company typically needs to follow these steps:

1. Review the Worksheet: First, review the NCCI Experience Modification Worksheet provided by your insurance carrier or obtained directly from NCCI. Identify any discrepancies or errors in the data used to calculate your experience modification factor (EMF).

2. Gather Documentation: Collect all relevant documentation that supports your claim for correction. This might include payroll records, claim information, and any other relevant documents that demonstrate inaccuracies in the data used for the calculation.

3. Contact your Insurance Carrier: Reach out to your insurance carrier or agent to discuss the discrepancies you've identified and express your intention to apply for a correction to the EMF. Provide them with the documentation supporting your claim.

4. Submit a Request to NCCI: If your insurance carrier agrees that there are errors in the calculation, they may submit a request for correction to NCCI on your behalf. Alternatively, you may be required to submit the request directly to NCCI, depending on your specific circumstances.

5. Follow Up: Keep in touch with your insurance carrier and NCCI to monitor the progress of your request for correction. Be prepared to provide any additional information or documentation requested during the review process.

6. Review the Updated Worksheet: Once NCCI processes your request, review the updated Experience Modification Worksheet to ensure that the corrections have been made accurately.

Why It's Important:

Understanding your EMR and worksheet helps manage costs and promote workplace safety.

In a nutshell, mastering your EMR and the worksheet can lead to safer workplaces and better insurance rates for your business.

Staffing Risk Tips - Pre-Employment - Staffing Safety Tip

Pre-Employment Physicals

- Pre-Employment physicals are a risk management tool used to screen individuals for risk factors that may limit their ability to perform a job safely and effectively.

- Function testing before starting work can prove essential function capability, limiting the risk of injuries associated with certain jobs.

Pre-Employment Training

- Try to stop the accident from happening in the beginning! You can do this by implementing training videos to make sure that your employees know what kind of work hazards they will be around and how to deal with them properly.

- Make sure that you hold regular training sessions to keep employees up to date on new rules and regulations and remind them of the correct safety procedures.

Healthcare Staffing - Insurance Considerations

Generally, healthcare staffing agencies employ doctors, nurses, nursing assistants, medical technicians, and others as contractors on offsite patient facilities. This presents unique liability conditions that require appropriate insurance coverage. Unlike a medical facility that hires workers directly, agencies face the combined challenge of employing medical professionals and dealing with c-employment laws. Typically healthcare staffing agencies have insurance needs that include:

General Liability

Whether a healthcare agency staff worker at a doctor’s office, hospital or for at-home patient care, general liability insurance is a must. This type of insurance plan protects the agency from onsite property damage or physical injuries sustained at the medical facility and agency office. An agency and its assets are also protected if a client files claim against workers or the agency. With general liability, the agency is covered to defend against such claims whether they are fraudulent or not.

Medical Professional Liability

Medical professionals working for a healthcare staffing agency could face claims of negligence or malpractice. Claims against professional competence are not uncommon and do not exclude healthcare staffing agencies. In a litigious society, the agency must protect itself with a medical professional liability insurance policy. Basically, medical professional liability insurance offers protection for a staffing agency that faces liability claims from a worker’s failure to use due care. Somewhere during treatment, the standard of care that a patient expected was not fulfilled. Any bodily injury that resulted in an act of negligence, along with mental anguish, can be covered under this policy. In most cases, a higher percentage of the premium costs go towards defending a negligence or malpractice claim.

Workers’ Compensation

A workplace injury can occur at any time that an agency places a medical worker on a job. Working around chemicals and medical devices increases the potential for serious accidents. Workers’ compensation insurance can protect workers with guaranteed financial benefits for qualified injuries sustained on-the-job. All states require employers, which include healthcare staffing agencies, to carry workers' compensation insurance.

Also known as workman’s comp, this type of insurance is a compromise between workers and staffing agencies. For workers, they relinquish the right to sue the agency if they suffer an illness or injury while at a client’s worksite. In return, the staffing agency agrees to provide state-mandated benefits as a result of the illness or injury. These benefits may include medical care and a percentage of the workers’ pay.

Fidelity Bonds

If at any time a worker is accused of stealing from one of these workplaces, the staffing agency can be held equally responsible for the worker’s actions. Fidelity bonds, which can be individual, scheduled or blanket, will protect the agency against the costs of theft and subsequent legal actions. Issued as a guarantee for clients against losses that result from worker dishonesty, fidelity bonds are an essential part of the staffing agency’s insurance program.

To receive a Staffing Insurance quote for your Medical Staffing Company contact us today.

Website - www.akkerins.com

Email - info@akkerins.com

Staffing Insurance - Employment Practices Liability Insurance

Does my Staffing Firm really need EPLI Insurance? We have a great HR Department we will never face an EPLI Claim. The common statements made by staffing firm owners.

For the past couple years Staffing Agencies nationwide have been facing an increase in Employment Practices related claims. A majority of staffing companies have 2-3 claims regarding employment related practices a year.

EMPLOYMENT PRACTICES LIABILITY INSURANCE - What does it cover?

Employment Practices Liability - a type of liability policy that covers wrongful acts arising from the employment process. The most frequent types of claims that are covered under (EPLI):

• Discrimination

• Harassment

• Retaliation

• Violation of the Family and Medical Leave Act

• Wrongful discipline

• Wrongful failure to promote

• Wrongful termination

Does Staffing Employment Practices Liability cover Wage and Hour Claims?

Wage and Hour Claims are completely different then EPLI Claims. Wage and Hour are claims by an employee that his or her employer has failed to pay overtime wages owed to the employee. Most EPLI policies specifically exclude coverage for wage and hour claims.

With 9+ Years of Helping Staffing Companies Nationwide - Akker, LLC has built trust with competitive A+ rated National Staffing Carriers. Let the Akker team quote your Employment Practices Liability policy and Staffing Insurance.

Contact us today - stan@akkerins.com or call (912) 247-3075