Risk & Business Magazine Spectrum Insurance Magazine - Spring 2019 | Page 6

WORKERS’ COMPENSATION COSTS
FIVE STRATEGIES FOR REDUCING
BY: BROOKE SHAW-GARDOW
MS, CSP, CRC, RISK MANAGER
& SAFETY CONSULTANT
SPECTRUM INSURANCE GROUP
WORKERS’ COMPENSATION COSTS
W
hen a company
experiences significant
increases in workers’
compensation costs, it
usually triggers internal
activities aimed at reducing insurance
costs and spending. The key to spending
fewer dollars is more than just stopping
a few accidents. It is having a sound
safety program designed to continuously
improve. This is where a safety program
that, at a minimum, is compliant with
the Occupational Safety and Health
Administration (OSHA) standards can yield
significant savings by reducing injuries and
illnesses, saving workers’ compensation
dollars.
BUILDING A SOLID OSHA PROGRAM
There are five elementary steps you can
take to have a well-rounded safety program
that produces a safe work environment,
achieves OSHA compliance, reduces
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accidents, and ultimately reduces workers’
compensation costs:
1) Develop the various programs required
by OSHA standards
2) Integrate those programs into daily
operations
3) Investigate all injuries and illnesses
4) Provide training to develop safety
competence in all employees
5) Audit your programs and your work areas
on a regular basis to stimulate continuous
improvement
DEVELOP PROGRAMS REQUIRED BY
OSHA STANDARDS
Aside from being a requirement for general
industry, OSHA standards provide a good
pathway to incident reductions. A good
number of accidents stem from poorly
developed or poorly implemented OSHA
programs: failure to keep walking and
working surfaces clear may result in slips
or trips; not using personal protective
equipment may result in excessive
lacerations; and poor lifting techniques can
result in strains.
Many of the OSHA standards require some
type of written program be developed
and then communicated to employees.
Experience shows that companies with
thoroughly developed OSHA-compliant
programs have fewer accidents, more
productive employees, and lower workers’
compensation costs.
INTEGRATE PROGRAMS INTO DAILY
OPERATIONS
Policies alone won’t get results. The
program must move from paper to practice
in order to succeed. Putting a policy into
practice requires a strategic plan clearly