For many of your commercial accounts, the new calendar year and the workers comp policy year both begin on January 1. By now, most of these accounts know their experience mod for PY 16. The beginning of a policy year is by no means a time to set these valued accounts aside for later consideration. In fact, the beginning of a policy should trigger actions ensuring a successful approach to the next policy – the one beginning in January 2017. (Keep in mind that the steps I am about to outline are things I am delighted to do for you; in any event, they are important steps in retaining your valued commercial clients.)
A few weeks after a policy year begins, agents should secure up-to-date loss runs from carriers. Loss runs contain a wealth of information: a list of all claims, the key indication of whether these claims are open or closed, and just enough description of injuries to determine whether there are any patterns requiring corrective action. The reserves in the losses should be correlated with the claims listed in the experience mod sheets, to determine whether they have gone up or down in value since the mod was calculated.
For any account with open claims, a telephonic claims review may be in order. Every open claim requires an active strategy toward resolution. The timing of the review is crucial: if there is any opportunity to close out or lower the reserves on an open claim, action must be taken before the unit stat report is submitted; for January policy years, the unit stat is submitted six months into the policy year, in June.
Given loss runs and the current mod calculation sheets, enough information is in hand to project the PY 17 mod.
For busy agents, it may be difficult to find the time to perform these important tasks. That’s where I come in: just send me current loss runs and the most recent experience mod calculation sheets and I will literally run with it. As a RAIS agent you have unlimited access to my services, so by all means use it! Let’s hit the ground running in 2016!
Senior Workers Compensation Consultant