You’ve purchased the appropriate Workers’ Compensation (WC) Insurance, as required by Pennsylvania law. That’s a significant first step to protecting your employees and your business, but there’s more to a healthy WC program, including the prompt reporting of injuries and claims.
We understand that you have a lot on your plate and may wear many hats, but not reporting a claim promptly can have a negative impact on your WC program, your business, your injured employee, and your worker's comp insurance costs.
5 Reasons Prompt Reporting of Workplace Injuries and WC Claims is Crucial to Your Business
Preserve Evidence
When an injury occurs, it’s essential that the injury is investigated as quickly as possible, or you could risk losing crucial evidence. Therefore, as soon as an injury occurs, someone should document details of the injury, investigate to try to determine how the injury occurred, interview the employee and any witnesses, and of course, ensure that the injured employee receives appropriate medical attention.
Lower Cost of Claims
The National Council on Compensation Insurance (NCCI) found that the median cost of WC insurance claims that were reported between one day and two weeks were “significantly lower,” and the cost rose as the time it took to report a claim rose. The bottom line is that delayed reporting can increase WC claim costs up to 51%.
Better Medical treatment
When an injured employee receives prompt medical treatment from competent, in-network healthcare providers, they are more likely to receive a proper diagnosis and effective treatment to heal faster.
Plus, even seemingly minor injuries can escalate into more significant issues if they are not immediately looked at by a medical professional.
Quicker Return to Work
The sooner you can get an injured employee back to work safely, the better it is for everyone – the injured employee, co-workers, and your business. Having a return to work program can shorten the length of time an injured worker is out of work by an average of 3.6 weeks, according to the RAND Institute for Civil Justice.
Health providers who are familiar with treating workers’ compensation injuries will focus on facilitating an early return to work for the injured employee. The sooner the injury is reported, the sooner that process can begin.
Decrease in Litigation
Promptly reporting an injury and keeping in touch with the injured employee throughout the claim process helps reduce employee’s fears and makes them feel as if their employer cares about them and is treating them fairly. According to NCCI research, this all translates to a lower chance of litigation.
Fraud Prevention
According to the National Insurance Crime Bureau (NICB), “Workers’ compensation claimant fraud and medical fraud are significant contributors to our nation’s annual $30 billion insurance fraud problem.”
Prompt reporting of an injury helps ensure 1) the injured worker receives proper medical treatment, 2) the injured worker feels they’ve been treated fairly, and 3) allows a better investigation of the incident. All this helps minimize fraud.
Quicker Closure
The longer a claim remains open, the more resources you have to use. Promptly reporting an employee injury can get an employee back to work and the claim closed more quickly.
Safer Workplace
When an injury is reported and investigated quickly, you are more likely to recognize safety issues, correct them, and ensure the safety of your employees.
One More Step: Lower Workers Compensation Insurance Costs
If you want to learn more about how to get the lowest cost on WC Insurance and other commercial insurance, give the independent agents at American Insuring Group a call at (800) 947-1270 or (610) 775-3848 or connect with us online. We shop and compare competing insurance carriers to get you the best rates on quality insurance protection. Call today.
