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UNIT STAT Date Most Important For Experience Rating

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UNIT STAT Date Most Important For Workers Comp Policies

The most important date on the Workers Comp calendar is one that only a few select people know or follow.  (UNIT STAT date).

Picture of Pen Marking Important Date on Calendar
StockUnlimited

If you thought it was the renewal date, you are throwing Workers Comp $ down the drain. Check with this blog tomorrow to find out when your reserves + paid = total incurred pegs to your Experience Modifier.  You will be shocked.

One should mark this on their calendar as one of the most critical days for any company’s budget process in the area of worker’s comp policies.  The renewal date is important, but not as important as this special time of the year – and we are not talking about Christmas. LOL

Why do I keep bringing up this very important mp date? Over 99% of the employers we have asked this question to has said the renewal date. When only .6% of the employers know the answer, we become very concerned.

The second choice by employers centered on claim dates.  This choice made us wonder what employers meant by that term.  The First Reporting Lag time was what the employers meant by that choice.

UNIT STAT Date Is The Answer

The UNIT STAT Date is the answer to the question.  OK, so what is the all- most important date of  Workers Compensation?  Not one employer has emailed us the correct answer.   We asked a workers comp question earlier in this in the last post.

Graphic of Calendar UNIT STAT Date Mark
StockUnlimited

We have posted on the Unit Statistical Date subject before in this blog. We usually hear the following answers:

  • The Workers Comp policy renewal date
  • The claims reporting date
  • The Workers Comp policy expiration date
  • The date that the NCCI or State Rating Bureau calculates the E-Mod
  • The Workers Comp audit billing date
  • The day the Insurance Carrier’s Workers Comp auditor visits

None of the above are correct – the last one is important but not as important as the UNIT STAT Date. Check the next blog for an explanation of the critical date.  After this article, you should always mark it on your calendar.

Yes, the policy renewal date is important.  However, everyone knows about the policy renewal date.  The UNIT STAT date is one that quietly passes by each year without anyone but the insurance carrier statistical reporting staff and the Rating Bureaus.

UNIT STAT Date Critical for Experience Mods

Why is the Unit Stat Date the most critical date of any Workers Compensation policy?

Close up UNIT STAT Date calendar
Wikimedia Commons – Dafne Cholet

The Unit Statistical Date is the actual date that the reserves/total incurred is used to calculate your E-Mods. It is not the policy renewal date. We have seen agents, adjusters, and even some underwriters become so very concerned about an employer’s Workers Comp policy during the last month of the policy.

Other than marketing the insurance company, the last month of a Workers Comp policy is a useless time to do anything in regards to reducing the reserves on a file.

Your reserve review program must center on the Unit Stat filing date to the rating bureaus.

The UNIT STAT report is filed by your insurance carrier with the State Rating Bureau or NCCI to calculate your Experience Mod. The UNIT STAT report is one of those kinds of “hidden” factors that figures into your Workers Comp policy.

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James Moore

Raleigh, NC, United States

About The Author...

James founded a Workers’ Compensation consulting firm, J&L Risk Mgmt Consultants, Inc. in 1996. J&L’s mission is to reduce our clients’ Workers Compensation premiums by using time-tested techniques. J&L’s claims, premium, reserve and Experience Mod reviews have saved employers over $9.8 million in earned premiums over the last three years. J&L has saved numerous companies from bankruptcy proceedings as a result of insurance overpayments.

James has over 27 years of experience in insurance claims, audit, and underwriting, specializing in Workers’ Compensation. He has supervised, and managed the administration of Workers’ Compensation claims, and underwriting in over 45 states. His professional experience includes being the Director of Risk Management for the North Carolina School Boards Association. He created a very successful Workers’ Compensation Injury Rehabilitation Unit for school personnel.

James’s educational background, which centered on computer technology, culminated in earning a Masters of Business Administration (MBA); an Associate in Claims designation (AIC); and an Associate in Risk Management designation (ARM). He is a Chartered Financial Consultant (ChFC) and a licensed financial advisor. The NC Department of Insurance has certified him as an insurance instructor. He also possesses a Bachelors’ Degree in Actuarial Science.

LexisNexis has twice recognized his blog as one of the Top 25 Blogs on Workers’ Compensation. J&L has been listed in AM Best’s Preferred Providers Directory for Insurance Experts – Workers Compensation for over eight years. He recently won the prestigious Baucom Shine Lifetime Achievement Award for his volunteer contributions to the area of risk management and safety. James was recently named as an instructor for the prestigious Insurance Academy.

James is on the Board of Directors and Treasurer of the North Carolina Mid-State Safety Council. He has published two manuals on Workers’ Compensation and three different claims processing manuals. He has also written and has been quoted in numerous articles on reducing Workers’ Compensation costs for public and private employers. James publishes a weekly newsletter with 7,000 readers.

He currently possess press credentials and am invited to various national Workers Compensation conferences as a reporter.

James’s articles or interviews on Workers’ Compensation have appeared in the following publications or websites:

  • Risk and Insurance Management Society (RIMS)
  • Entrepreneur Magazine
  • Bloomberg Business News
  • WorkCompCentral.com
  • Claims Magazine
  • Risk & Insurance Magazine
  • Insurance Journal
  • Workers Compensation.com
  • LinkedIn, Twitter, Facebook and other social media sites
  • Various trade publications

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