The Most Popular UNITSTAT Date is in June – Why You Should Care
The most popular UNITSTAT Date is coming up for all insureds with a regular voluntary market policy. How did I figure that out? Follow along with me and I will try not to bore you such as the young man in the pic.
Most Popular UNITSTAT Date Comes From Another Most Popular Date
I have written on this subject a few times. The rules have not changed on UNITSTAT dates. The most popular policy date is January 1st of any year.
A larger percentage of companies began their businesses on January 1st. This workers comp policy renewal date remains one that I warned about in previous articles. Check out this article on the January 1st renewal date.
The UNITSTAT Date for January 1 would be July 1st, except for one important notation. When the clock strikes midnight between June 30th and July 1st, your claim values from your Workers Comp loss runs (Total Incurred) pegs to the next published Workers Comp Experience Mod.
The “pegging” will occur on Thursday, June 30th at 11:59:59 PM. In other words, if you have a renewal date of January 1, then you have less than four weeks to do a loss run review to make sure all the reserves are in line with your Workers Comp claims.
Reserve Reviews Not Last Minute Operation
I can tell you from being a former Risk Management and Claims VP that the process of claims reserve reduction has to start 90 days before the most popular UNITSTAT date of June 30th or any other UNITSTAT date.
Asking a claims department to review their reserves for a last-minute reduction will usually become an exercise in frustration. You have to give it time for the file to “cross many desks” for reserve reductions.
Let us say that you have a February 1st workers comp policy renewal date. The three dates that are important dates in the process are:
- Policy renewal date – an obvious one
- 90 days after the policy renewal date – see the previous link for more info, April 1st would be the last day to start the loss run review and reserve negotiation – especially for large files.
- UNITSTAT Date – 180 days or 6 months after policy renewal. The rating bureau pegs the reserves to the next year’s Experience Mod.
I have written on the most popular UNITSTAT date and other articles on this important date. Check out this search if you wish to see more info.