Insurance Journal’s Insurance Academy Presentation by James J Moore
The Insurance Academy that is part of the Insurance Journal invited me to do a free-form presentation tomorrow at 1:30 PM Eastern.
I decided to do one on how sub-contractors and contractors have been shut out of contracts for a .01 too high-risk factor.
Yes, .01 can lose companies millions and turn the rating bureaus into quasi-credit bureaus. The Insurance Academy presentation is located here if you wish to sign up.
How did I come up with this topic? We receive phone calls and emails on this very topic weekly, if not daily. Bidding on contracts changed a few years ago when certain new contract clauses caused quite a stir.
The webinar description:
The newest trend in Workers’ Compensation works against any company or organization with an Experience Modification Factor (E-Mod or X-Mod) over 1.0. Public sector RFP requirements have been designating “no bidding” on contracts if the E-Mod is over 1.0 for years.
The trend has now spread to private employers on bids and subcontracts. This is currently a hot topic among agents and Risk Managers.
In this webinar you will be able to see how an E-Mod:
- Can increase to an unacceptable level with just a few dollars of increased claims.
- Affects Contractor coinsurance requirements
- Decreases with a targeted Loss Run review
- Can be “negotiated”
The webinar will also cover the E-Mod cycle and how to plan for the future E-Mod levels. Alternatives to the regular insurance marketplace will also be covered in detail.
The shocking part of the development is that agents, Risk Managers, and small business owners may not realize the Workers Compensation rating situation they are in until their bid is rejected by a governmental entity or prime contractor. We have many clients that have come on board with us just to stave off losing up to 80% of their business overnight.
Even if you cannot make the webinar, if you register, you can receive a recording of it to listen to later. It is free to members of the Insurance Academy.
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