Loss Run Review Question From Reader
A Loss Run Review Question From One of our Blog Readers – In one of your earlier blogs, you said that Workers Comp monthly or quarterly loss runs are like gold to an employer.
What are the deadlines for reviewing them to try to reduce my premium?
Our recommendation is that you set aside some time after receiving each monthly/quarterly loss run to review the claims.
One of the reasons that you must review them very often is one of my old work comp rules –
You cannot go back and change what has been paid on a Workers Comp file or change the reserve after the file has been closed. Workers Comp reserves are the “here and now” money that is going to affect your insurance budget for up to five years.
Workers Compensation premiums have a look-back period where we can go back into the past a few years, but we can do nothing with the reserves on a file that has already been handled and closed. There are some companies that will go back into the past and try to sue their Work Comp carrier, but that is usually a long, drawn-out process where everyone loses.
There are some prior posts that cover how to look at your loss run in this blog. You must start talking to your insurance carrier three months after your new policy just renewed. That does sound strange, please read this carefully. Do not start trying to review your reserves in November for a January 1 renewal date. You are months late and will not help your E-Mod or premiums.
Feel free to email me at [email protected] if you wish to know when you need to start reviewing your reserves and when your reserves will affect your E-Mod and premiums.
Up Next – Another question from our blog readers.
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