When a work-related accident happens, the costs to the business owner can be astronomical. In addition to workers’ compensation premiums, which cost the economy up to $1 billion per week, businesses also have to absorb the cost of damaged equipment, lost productivity, and investigations. Fortunately, a proactive approach can help reduce the frequency and severity of work-related injuries and the associated costs.

3 Ways to Reduce Workers’ Compensation Expenses

Establish a Safety Program

Writing safety guidelines for your employees, ensuring every area has adequate signage, and conducting regular retraining can dramatically reduce the rate of injuries of your workers. Your claim history has a profound impact on your insurance premium, so preventing accidents can lower your premiums and overall compensation costs.

Create a Return-to-Work Program

The longer an injured employee is unable to work, the more expensive their worker’s compensation claim will be—and the higher your premiums will be in the future. Once it is safe to do so, encourage employees to return to work, even if only on a part-time basis or at reduced capacity. By closing the workers’ compensation claim early, you can minimize the costs of an accident, and a valuable member of your workforce can resume work.

Participate in State Programs

Some states allow business owners to enroll in sponsored safety programs in exchange for reduced worker’s comp premiums. Drug-free workplace programs are popular, but there may be options specifically tailored to your industry or area. A good insurance agent will be able to help identify programs that can lower your costs and provide valuable tools for creating the safest workplace possible.

Since 1973, business owners throughout Geneseo and Livonia, NY have relied on the Chanler Agency Inc. for help navigating the complexities of the worker’s compensation system. No matter your industry, you can depend on their team to evaluate your business to ensure you have all the coverage you need. Visit their website for an overview of their services today, or call (585) 243-5520 to request a quote from their Geneseo office today. To reach their Livonia location, call (585) 346-3118.