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Safety and EMods – Highlights From My Presentation From Today


Presentation Highlights – Safety and EMods Are Very Related

Picture of Presentation In Office Safety and EMods Concept
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How Safety and EMods intermingle was the basis for most of the highlights from my presentation. The NC Mid State Safety Council was kind enough to ask me to do a presentation on how safety programs impact an employer’s bottom line from a Workers Comp standpoint.   I am the Treasurer for the organization.

The highlights from my presentation were  (you may want to print this one):

  • Safety Departments can be easily scored by their E-Mods.  It is the same as a personal credit score but much harder to improve quickly.
  • Self Insureds do have an EMod, better known as an LDF (Loss Development Factor).  If your company is self insured and does not have an LDF, you are operating a blind WC budget
  • Due to the economy, there are now temporary employment agencies that may not have their WC policy in force.  In this case, the employer will often get stuck with the bill if a temporary employee is injured on the job.
  • Subcontractors that are operating without a valid insurance policy or with an expired policy actually become employees as the Workers Comp courts are going to go up the Ladder of Insurance (c) to make sure the injured employee will receive WC benefits
  • Calling the carrier (not the agent) that is listed on the WC certificate of insurance is a good idea just to make sure there is coverage in place for temporary agencies and subcontractors
  • Do not use your company’s Workers Comp funds to pursue a fraud prosecution.
  • Workers Comp supplements paid to an injured employee will only make them much more resistant to return to work
Safety First On Keyboard Safety and EMods Graphic

The Four Ways To Cut Work Comp Costs from a claims standpoint are:

    • Filing First Report of Injury to carrier immediately
    • Medical treatment network in place
    • Return to Work program in place
    • Treat the injured employee as if they are still on the job as they are still your employee

North Carolina Scheduled Rating Plan – discounts are available if a great safety program is in place and your carrier understands your company’s safety measures

An example of how not having a medical network in place = $1.1 million dollar claim

  • The new NCCI split points can be a benefit or a curse to a safety program
    • High EMod companies are going to take a hit
    • Lower Emod companies will experience a benefit
    • Safety programs and professionals will be worth their weight in gold for the next few years

Bottom Line – Safety is going to be heavily judged by their WC E-Mod even though the safety department may not be involved in some of the WC decisions

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James J Moore - Workers Comp Expert

Raleigh, NC, United States

About The Author...

James founded a Workers’ Compensation consulting firm, J&L Risk Management 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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