If you are looking for ways to reduce the costs that you pay for workers compensation claims, you are already mindful of the expenses you’ll encounter in terms of premiums.
However, you may not have considered the indirect costs that are associated with workplace accidents and injuries. These costs may be above what you have to pay for a workers compensation plan for employees. You might have to pay for training for alternate workers, change your work schedules, or analyze workplace accidents and create corrective measures. Other costs may be related to repairing damaged equipment, as well as cope with employee morale.
There are ways that you can regulate and reduce your overall costs for workers compensation costs, and you can start with an effective safety program in place. By utilizing these tips, you will not see such a negative impact to your bottom line.
Create a safety program
Many accidents in the workplace can be averted before they occur. By creating and implementing a safety program on the job, you can detect potential accidents and terminate the hazards in the workplace that can cause injuries.
The ROI on these types of safety programs have proven to be credible. Many studies support the theory that when a company spends a dime on safety programs, the company can realize a profit of up to $6.
This type of return may be one of the reasons why many states require that businesses keep a current written safety program on file. In addition, putting these requirements in writing for all employees implies that the company is dedicated to maintaining safety in the workplace.
Create a return to work employee programme
Even if your business has an effective safety program in place, accidents can still occur. If employees do become injured while on the job, a return to work employee program can act as an alternative to a workers compensation claim management program. When an employee can return to work sooner, less replacement revenue has to be covered in the claim.
The primary goal of this type of program is to help injured employees get back to work in as little time as possible, even if the employee has to have a tailored work detail while they are going through recovery. This may mean that the employee will need to complete light duty hours or even work less hours.
Join a professional employment association
You should also consider joining an organization that will guide you with resolving safety issues in your business, and help you maintain control of your workers compensation claims. These organizations assist employers with:
- Resolving claims efficiently and quickly
- Creating a return to work program that will help boost worker morale
- Maintaining communications with injured workers
When all of these tips are used in combination with each other, your business will see a decline in indirect workers injury expenses and workers compensation claims. As a result, you will see an increase to your bottom line.