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Top 10 2018 Self Insured Resolutions For Workers Comp


Top 10 2018 Self Insured Resolutions

The Top 10 2018 Self Insured resolutions are based on the 2017 and 2016 resolutions.    Searching the world resolution in the search box at the top right of the page bring us a long list of resolution articles.

Mexico City 2018 Self Insured Resolutions
Wikimedia Commons – Eneas De Troya

The 2017 resolutions were:

  1. Obtain and know your LDF (Loss Development Factor)
  2. Working relationship with adjusters
  3. Use email – not phone calls
  4. Conquer Your TPA expenses
  5. Watch the Learning Curve for Accident Spikes
  6. Use online access when available
  7. Attend A Workers Comp or Safety Conference
  8. Subscribe to our weekly Newsletter
  9. Obtain Your Loss Runs
  10. Write an article on Workers Comp .


A fuller explanation of the terms are in the 2017 article.

The 2018 resolutions are:

Hand Showing 2018 Self Insured resolutions Dollars
Public Domain By At.morey.tota
  1. There is nothing wrong with not being Self Insured – Many companies and organizations think that once a certain level of success and growth has been attained, self insurance for Workers Compensation should soon follow.   We have often discouraged companies from becoming self insured and even helped self insureds convert to another line of insurance for their coverage.
  2. Construct a Request For Proposal (RFP) for your Third Party Administrators (TPA’s) – governmental agencies are tasked with this requirement.  There is a reason for that requirement – to obtain the best possible value.
  3. Unbundle your required services with multiple RFPs for such providers as rehabilitation nurses, bill review, pharmacy, etc.  Even though this is hellish at first, the future dividends are usually great.
  4. Have the ability to ad-hoc  print your loss runs – monitoring the claim payouts is critical.  Remember, the adjuster is spending directly from your budget account.
  5. Having a Working relationship with adjusters  to monitor claims closely.   This is a holdover from 2017.  It was very important for self insureds many years ago.  The working relationship is still important now.  A red flag is that you do not know the names of the adjuster or adjusters handling your files.
  6.  Keep in mind each state in which you operate has its own set of minimum rules for being self-insured – for companies considering becoming self insured.   One very common minimum is $500,000 of liquid assets in that state.   You may have to be self insured in certain states but have another policy for your non-self insured states.
  7. An alternative to LDF’s – Loss Development Factors is SynthMods(R).   We calculate those for self insureds.  They are basically E-Mods instead of LDF’s.  SynthMods rate your company with the Experience Mods like you were still in a regular workers comp policy.   They are an alternative to LDF’s.
  8. Understand all your TPA expenses.  That is a holdover from last year’s resolutions.   That is why I suggest in #3 above to unbundle all your TPA’s expenses.  Examine each service provided as a separate total.
  9. Take your self insured program in- house.   This is the most labor intensive recommendation.  However, having an internal claims staff can save a large amount of budget.   A caveat – watch the Law of Large Numbers here.   You need to have a large workers comp budget to do the claims in-house
  10. Go back and read all the resolutions I have written.  Even if the resolutions are not specifically for self insureds, you can glean great information.  The resolution search is  here.
  11. Bonus – Full online access to your claims including reserving and adjuster notes will save many phone calls and emails to the adjusters.  The more you know about your claims, the less budget will be used for your claims.   In other words, the more you pay attention, the more claim payouts will naturally fall over time.


There are many more resolutions which could be added to the list.   Good luck with your 2018 self insured resolutions.


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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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