Reducing or eliminating workers’ compensation claims is critical to an organization's risk management strategy and is key for the long-term success of any company.
This requires companies in all industries to plan and take preventative measures. A top cost-reduction strategy for employers is prompt notification and reporting.
Reducing Costs of On-the-Job Injuries
As a risk management consultant, we encourage employees to report all injuries within 60 minutes. It’s important to work this into company culture and regularly remind employees of this policy.
When the employee reports the injury immediately, your designated claims coordinator can begin the claim management process sooner and more efficiently. Claims that are reported within 24 hours of an incident receive the following benefits:
- Earlier investigation
- Direction of medical treatment
- Timely contact with the injured employee and eyewitnesses
- Lower claims costs
Changing the Culture Around Workers' Compensation
Here's something to think about. Injuries reported within two weeks of occurrence are 18 percent more expensive than those reported within one week of occurrence, and injuries reported between 4-5 weeks can be up to 45 percent more expensive. Delayed reporting can also lead to increased recovery time for an employee and more time away from work.
While we do what we can to prevent a claim, it's best to be prepared for what could happen. Do what you can to install the best risk management practices into your organization, and should an incident occur, make all employees aware of the benefits of a timely injury report.
For more information, watch our webinar, "Life of a Workers' Compensation Claim." You can also contact our risk management company, Cornerstone Insurance Group, today to gain a better understanding of workers' compensation and risk management processes.