Workers Comp Reserve Reduction Program
I was going to construct a chart on when your company’s Workers Comp reserve reduction program would need to begin overall. I think that a formula would be easier. For a quick date calculator, try this one.

There are two assumptions that have to be made for the formula to work.
- Your company pays a premium and is not self insured
- You have a normal Workers Comp policy
Policy Renewal Date + 3 months = Latest time that a Workers Comp reserve reduction program should be undertaken.
Policy Renewal Date + 6 months = Unit Stat date
The Unit Stat date is the date that usually no matter what happens, your Workers Comp reserves are pegged to calculate your NEXT year’s policy. I am giving you three months to do a complete Workers Comp reserve reduction program. You may wish to start slightly earlier.
You may want to start even earlier if you do not have online and immediate access to your Workers Comp files and reserves. That is why I consider online access to be golden. It saves an enormous amount of time. I have written about it in the past.
The claims staff is just not going to lower your reserves because you call. The largest mistake made when it comes time for a reserve reduction is to just simply call up the adjuster and say my reserves are too high, take them down ASAP.
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