Boost Workplace Safety, Lower Insurance Premiums.
Experience Modification
Experience Modification rewards businesses with a positive safety record, as it leads to reduced workers' compensation insurance premiums. A favorable Ex-Mod not only lowers Work Comp costs, it also encourages businesses to focus on workplace safety and minimize claim expenses, ultimately enhancing a company's reputation, making it an attractive choice for clients and employees alike.
Understanding Experience Modification
- Reflects company's loss history
- Compares to industry averages
- Influences workers' comp premiums
Promoting Workplace Safety
- Incentivizes safety improvements
- Reduces claim costs
- Lowers premiums for safe workplaces
Calculating Experience Modification
- Uses actual and expected losses
- Considers payroll and risk classification
- Typically reviewed annually
Benefits of Lower Experience Mods
- Competitive advantage in bidding
- Attracts top talent
- Boosts company reputation
Managing Experience Modification
- Prioritize safety training
- Implement safety protocols
- Encourage reporting of hazards