President's Welcome
Dear Customers and Business Partners,
During these
challenging economic times, we, as business owners and
decision-makers, are constantly checking our budgets to
ascertain where we can cut costs. However, your workers'
compensation insurance premium is an investment in your
company's future and is not a line item where you can afford to
cut costs. From building an effective training program to
expertly managing your claims, your choice of a workers'
compensation partner is critical to your company's long-term
growth.
We have all been faced with difficult
cost-cutting decisions during the last 6-to-12 months, however,
if you eliminate a dedicated team of loss control and claims
experts, what will you do the next time your company experiences
a serious injury? And who will assist you as you prepare for the
next OSHA site visit?
Some of you may recall the story
that I shared several years ago, but it is just as relevant
today. A business owner told me that when he bought his company,
there was a safety engineer on staff with a salary of $100,000.
But, at the same time, the owner was paying $200,000 in workers'
comp premiums, so he let the safety engineer go. A few years
later, the owner was paying $1 million a year in comp, and
suddenly that $100,000 investment in safety sounded a whole lot
better. The long-term impact was that the company's experience
modification rate had skyrocketed due to an increase in both
frequency and severity, and it would take several years to get
things under control and for the experience mod to recover. At
the same time, the unfortunate business owner became less
competitive since dollars from other budgets had to be allocated
toward workers' comp premiums. The dominoes continued to fall,
and the rise in workplace injuries and lost work days affected
production.
When you have an insurance carrier who
understands your industry, your business, your culture, and your
competitive strengths, you have a partner in managing your
workers' comp program. Not only are you prepared for OSHA
visits, but you can rest assured that your management team and
supervisors have been trained for whatever injuries can happen
at your site that could impact your business. And, you can be
confident that the carrier's claims experts are an extension of
your team to advocate, investigate, and fight fraud on your
behalf.
Employers Direct is comprised of these loss
control and claims experts and values the opportunity to partner
with policyholders to develop customized workers' comp programs.
As your workers' comp renewal approaches, consider the long-term
implications of your choice and how your choice of carriers can
either cost you money or save you money in the years to come. I
invite you to contact me via email with questions or comments at
jlittle@employersdirect.com.
Sincerely,
Employers Direct Corporation
Employers Direct Insurance
Company
James E. Little
Chairman/President & CEO
