Archive for the ‘Workers' Compensation’ Category

Final Steps to an Effective IIPP – Part 3

Tuesday, October 27th, 2009

In our last post, we discussed the importance of the staff’s compliance with a safety program, hazard assessment and correction, and investigations. We can now look at the final three elements of an effective IIPP:

Hazard Correction

Include methods/procedures for correcting unsafe or unhealthy conditions in a timely manner.

Training

Training is important to not only educate, but to reinforce the requirements listed above (1-6). Training should be done at minimum- when new guidelines are established, to all new hires, and for all supervisors. Additionally, training must be done when new hazards are introduced into the workplace and when employees are assigned new job duties that will expose them to new hazards.

Record Keeping

Record keeping is one of the most important elements of your IIPP. It shows Cal OSHA that you not only have written documentation of your safety program, but that your program is being implemented. Records should be maintained for at least a year. They should include records of scheduled and periodic self inspections as well as safety training. Inspection records should include the name of the person that conducted the inspection, the unsafe conditions or practices identified and the corrective action taken. Safety training records should include the employee name or other identifier, training dates, type(s) of training and the name of the training provider. In addition, while recordkeeping is very important, requirements are less stringent for employers with less than 10 employees.

Conclusions

The IIPP is not only a way to save money, but it also reinforces the importance of workplace safety. A positive attitude towards safety from upper management will go far in promoting safe work habits to all levels of the organization. While all eight requirements are listed, each requirement is extensive. If you have additional questions about the eight requirements, please contact CPEhr’s Risk Management Representative to assist you with creating an effective Injury and Illness Prevention Program for your company.

The Importance of an Injury and Illness Prevention Program – Part 1

Wednesday, October 21st, 2009

The absence of an Injury and Illness Prevention Program (IIPP) ranks among the most frequent Cal/OSHA (California Occupational Safety and Health Administration) citations against businesses. Fines for the failure to have an IIPP are upwards to $7,000.  Many California employers are not aware that it is mandated by law to have a written IIPP.  The law (Senate Bill 198) enacted in 1989, and effective on July 1, 1991, requires California employers to develop and implement an IIPP.

In this and upcoming posts we will take a look at eight required sections of the IIPP, along with suggestions that will help you get started in creating an effective safety program. Today, we will look at the first two elements to consider:

1. Management commitment/assignment of responsibilities

A demonstration of safety and health begins with top-level management.  Management’s commitment to safety will set the tone for the rest of the organization.  Appointing a safety captain to be in charge of the program is a great start to demonstrating company-wide commitment.  While the safety captain’s primary role is to ensure that safety work-habits are adopted throughout the organization, they may, also, lead a safety committee comprised of employees representing each department/area of the organization.  Members of the committee can assist the safety captain by executing the organization’s safety goals.

2. Safety Communication system

There are many creative ways that you can communicate the importance of safety to your staff.  They may include:  introducing  your safety program during new hire orientations, include examples of safe behaviors in a company newsletter/company-wide communication, post safety posters throughout your facility or communicate a safety tidbit on a regular basis at a start-up/staff meeting.  Remember, empowering your team to develop creative ideas on how to effectively communicate your safety program will go a long way in motivating them to stay committed.

In our next post, we’ll discuss enforcing employee compliance with the safety plan, how to assess hazards in the workplace, and conducting investigations.

Contributed by: Sara Richards, Senior Loss Control Manager, CPEhr

What is Carpal Tunnel Syndrome, and How Can You Avoid It?

Thursday, September 24th, 2009

A bi-product of today’s computer usage (which includes its limitless capabilities of the keyboard) has resulted in an increase of Carpal Tunnel Syndrome (CTS), caused by repetitive movements, like typing on a keyboard. With the average lifetime cost of CTS, including medical bills and lost time from work, estimated to be about $30,000 for each injured worker, employers must make an effort to recognize the causes, and solutions, of CTS.

Expensive Workers’ Compensation Claims

Workers’ Compensation costs can increase substantially with CTS claims. Within the hand and wrist there is a collection of bones, tendons and nerves. If you flex your hand over and over again, you cause these tendons in your wrists to rub against each other, leading to irritation. The irritation can result in swollen tendons pressed against the median nerve, causing tingling, numbness and eventually significant pain. If the symptoms continue to persist without any precautionary changes, this may cause extensive pain and limited hand use.

Other Causes

CTS is not only caused by repetitive motion, but may be caused by genetics, health/lifestyle and trauma to the tendons. While genetics can’t be changed, an ergonomically conducive environment and proper work habits can reduce the chances of developing CTS.

Preventative Measures

Here are some four simple precautions that may be incorporated:

  • Chairs – Wheeled, adjustable height chairs with armrests are ideal, because you’re able to adjust the back rest of the chair giving custom support to your back. While, the armrest allows you to rest your arms and take weight off of your shoulders.
  • Tables – Choose a table/desk height that allows your arms to sit at a 90-degree angle to your body (27 to 29 inches above the floor is recommended).
  • Wrist angle – Adjust your keyboard height or use wrist rest to align your wrists with your forearms while working. Consider changing your style of keyboard, using a track ball or a different mouse if you cannot achieve this position otherwise.
  • Elbow angle – Raise your seat height if your arm angle is less than 90 degrees. Lower it if it is more than 90 degrees.

To learn more about Ergonomic Programs, please contact CPEhr’s Senior Loss Control Manager Sara Richards at 310.270.9876 or srichards@cpehr.com.

Post contributed by: Ernesto Vera, CPEhr Safety Control Specialist

Does Investing in Safety REALLY Pay? – Part II

Wednesday, July 8th, 2009

We left off last post with an important question to which every business owner should know the answer -

What is an Experience Modification, and why should I care?

The Experience Modification (or Ex Mod) is a factor calculated by the Workers’ Compensation Insurance Rating Bureau (WCIRB) based on an individual company’s loss history. This factor, indicated by a percentage that is applied to the insurance rates, will decrease with a favorable loss history, or increase bad loss history. All companies begin with a 100% Ex Mod. So, in simple terms, the more injuries you have, the higher your Ex Mod rate, the more premium you pay. The fewer injuries, the lower your Ex Mod, the less premium you will pay.

So let us go back to our friend, Warehouse A, whom we discussed in last post. After multiple injuries, their Ex Mod jumped from 100% to 125%. So, despite writing the same cheap deal in Year Two ($92,000 of base premiums), their net premium jumped to $115,000 ($92,000 X 1.25).

IN THE MEANTIME, Warehouse B did not spend as much time as Warehouse A shopping for insurance. They ended up with the slightly more expensive deal, paying $100,000 in base premiums. However, the management of Warehouse B took safety seriously. They did not just try to satisfy the minimum OSHA requirements. Rather, they invested a few thousand dollars in new safety equipment, training videos, and incentivizing the warehouse manager to create and manage a safety plan. From their efforts they only sustained a few minor injuries over the course of the year.

The result? Their Ex Mod dropped from 100% to 82% due to their favorable history. Despite keeping their same, slightly more “expensive” plan with a base premium of $100,000 as they had the previous year, their net premium plummeted to $82,000 ($100,000 X .82), due to their excellent loss history.

In Summary:

After 2 years, Warehouse A, who spent hours upon hours searching for the best rate in town failed to take safety seriously and ended up with an annual Workers’ Compensation premium of $115,000. Warehouse B, who took the time and a little money to invest in safety programs, garnered a premium of only $82,000, a whopping one year savings of $33,000 less than their friend!

Now I ask you, are  you still wondering if investing in safety pays??

Creating A Safety Plan

If you are ready to invest in a safety plan, let us know. Our Safety Team has years of experience and can get you up and running in a matter of days. Learn more about our Risk Management and Human Resource Consulting services.

Does Investing in Safety REALLY Pay? – Part 1

Monday, July 6th, 2009

In tough times, when businesses are hunkering down and trimming the fat, one of the most common questions regarding insurance is, “Should I really invest in safety?” After all, things seem to be going just fine. Sure, you’ve had your share of injuries, but who cares? After all, isn’t that what workers’ compensation insurance is there for?

Most employers would rather spend the time talking to brokers, preparing application packets, and shopping insurance carriers in an effort to find the best deal, than invest one dime in safety.

We thought we should step back for a minute and consider how investing time into creating a safe work environment will have a much greater impact on your workers’ compensation rates than shopping carriers.

A Story of Two Warehouses

Let’s take an example of two warehouses, each with $2 million of payroll. One company – let’s call them Warehouse A – spends 3 months choosing a broker and submitting application packets to half-a-dozen insurance carriers. In the end, it receives bids from two carriers. One offers an average rate of 4.6% for a total annual premium of $92,000. The other offers an average rate of 5%, for a total premium of $100,000.

Not bad – an $8000 savings for a couple months of work. Figuring they were set with a great rate, they neglected their safety program, didn’t conduct regular meetings, and were careless around the warehouse. One by one, the injuries started. First a sprained back, then a slip, and eventually a forklift accident that left a worker paralyzed from the waist down. When it came time for renewal, their insurance rates shot up. Why? Because their Experience Modification jumped through the roof.

What is an Experience Modification? That’s another great question, and you should be sure to know the answer. Stay tuned and we’ll get to it on our next post…