Are you looking for a “win-win” proposition for keeping your employees safe in the workplace? You may not have undergone a comprehensive risk consultation by your insurance agency, but having one can save you money in the long run. Your broker can not only help you uncover the best combination of coverage and cost but also help manage your risk profile to present you to potential underwriters in the best possible light.
It’s a natural tendency for insurance carriers to try to pigeonhole your business into a neat and tidy category. For example, for workers’ compensation coverage, perhaps you would be classified as retail, transportation, residential construction, or light manufacturing. For property, your category would be based on use (office, retail, habitational), type of construction, level of fire protection, flood risk, and other potential hazards. Underwriters would examine your loss history, including the frequency and dollar amount of your claims, to determine whether your premium would be more or less than the average. If your loss history includes an aberration, such as a freak accident, a claim reporting inaccuracy, or an injury with an undetected third-party recovery in your favor, it may translate into an artificially high premium. A risk consultant can help you avoid inflated premium assessments by advocating on your behalf to explain past incidents and discuss mitigation strategies moving forward.
A risk consultant can also help with asset preservation by reviewing vendor contracts and certificates of insurance to ensure proper wording and sufficient risk protection. Services may include reviewing hiring practices, safety training protocols, frequency and effectiveness of retraining, and hazard reduction initiatives. Questions the risk consultant may pose, for example, include “Are physical requirements clearly explained in your job descriptions?” and “Are there avoidable safety hazards in the workplace?”
Experienced risk advisors can help ensure that you are well-represented to carriers and that your risk exposure is minimized to the greatest extent possible. They will get to know your company intimately and represent you with integrity, along with a mix of grit and determination, questioning anything that may seem unfair. They can also review your current processes and programs and assist in identifying areas for improvement, either prior to marketing your account or to help comply with carrier recommendations and government regulations.
The beauty in implementing these changes is that not only will your company be better protected in the event of an accident but your employees will be better off too. Recommending safety improvements, eliminating work hazards, clarifying expectations, and instituting new policies can all contribute to a better work environment in which employees are not just safer but likely more satisfied and productive to boot. This shift can pay off big in protecting your company’s assets and reducing operating costs, allowing you to invest fully in your company’s future. For more information about how our agency can provide a risk consultation for your business, please contact us at nesbitagencies.com.