4 Ways Your Company Can Reduce Workers Compensation Claims
Business owners face a variety of costs that impact how successful their business is financially. From payroll cost to the cost of maintaining inventories, it’s important for business owners to steadily look for measures they can take to reduce the cost of operations.
One cost that managers can control is the cost associated with workers compensation insurance claims. Between 2013 and 2014, the average claim paid nearly $870 per week in benefits. By enhancing safety procedures and following the tips below, managers can reduce the number of claims they experience and keep their employees working.
Hire Qualified Workers
Many on-the-job accidents happen as a result of an employee not following safety procedures. Other accidents happen because the employee may not have been qualified to handle the position he or she performed. Both of these problems can be eliminated by hiring qualified workers for each and every position. By focusing on employing individuals who are capable of doing their job, you increase the chances that they are following all safety procedures and they are not risking their lives while working. Managers can work with their human resources department to fix the hiring process.
Fraudulent workers compensation claims abound in all industries. If you are not diligent about your workers compensation claims, many of these claims may go unchallenged and you may be responsible for paying an employee for a fraudulent claim. You should keep a watchful eye on employees by using video cameras.
Motivate Employees with Incentives
With the right incentive, managers can motivate employees to increase their productivity. Well, it stands to reason that the same premise holds true for positive behaviors, right? When employees are following safety procedures, management should reward their behavior in order to increase the likelihood that they continue following safety procedures. The rewards can vary based on how safe employees are, but managers must be consistent in providing positive reinforcement for their worker’s behavior.
Get Employee Feedback
Walkarounds are one of the latest trends in managing employees. Based on this theory, managers walk around and provide employees with feedback to improve their level of productivity. During this process, managers can also provide employees with feedback on the following:
Lifting heavy objects
Handling hazardous materials
Wearing personal protective equipment
By doing this, the company creates a culture that focuses on safety, which helps reduce the number of workers compensation insurance claims they have each year.
We can help you reduce your rates. Call I & E Insurance Agency at 732-295-5584 for more information on workers compensation insurance.