Reviewing Your Clients Work Comp History

by | Apr 11, 2011 | Staffing Company, Tips, Workers Comp, Workers' Compensation Insurance

Reviewing your Clients Work Comp History Now Can Save You Expense and Headaches in the Future

As a former owner of a large multi state staffing company, I know the excitement of getting a new client and wanting to do everything possible to please them so you get additional orders.  As appealing as that is, you certainly do not want a new client’s workers comp problems to  become yours. So along with reviewing  the new clients credit history, you may want to consider reviewing their work comp history as well.  In fact some clients may select your firm  specifically  so they do not have to deal with their own work comp  and safety issues.  They may be trying to transfer the financial responsibility to you, which can mean big headaches and losses long term.

What should you be looking for in new clients.

  1. Your Clients Work Comp modification or “mod.”  Is it above 1.0?  If so ask why.
  2. The history of their Comp Losses. Will they let you review their work comp loss history for the last 12 months?
  3. Have you seen their safety procedures– or program?  If they do not have one, maybe you can share yours which will help further your long term relationship with them.
  4. Do an on site review of all the positions you are staffing for?  Make sure they are following normal safety procedures.
  5. Ask who is there Comp carrier and how long they have been with them?  If they have had multiple carries over the last few years, that is usually a sign that they are a bad Comp risk — and maybe  even a bad credit risk.

I hope these suggestions help keep your Work Comp costs low and manageable.

Best regards,

David Schek
President- Work Comp Staffing Solutions
202-302-1212

Always feel free to contact StaffingCompSolutions.com for a Free quote at www.newcompquote.com

Selecting the Right Work Comp Broker

by | Apr 4, 2011 | Tips, Workers' Compensation Insurance

Just like you would not go to a car dealership to buy a boat, you should not buy workers comp insurance from a broker who does not specialize in this type of insurance coverage. Even more importantly, your broker should know the staffing industry and how your staffing business functions.  Determining  the right workers compensation insurance program for your staffing company is probably the most important payroll decision you can make; and can mean the difference between making money and losing money.

A good broker can help you address all these important issues (and more):

  1. Should you sign up with the State Fund? and What is the State Fund?
  2. Should you consider using a PEO (Professional Employer Organization) or a Private Carrier?
  3. Should you use a deductible program, and if so what should the deductible be?
  4. Do you have a good risk management policy  in place?
  5. What are the payment terms for your policy, and  are they negotiable?
  6. What does  “Pay as you Go” mean?
  7. Will I get good service from the broker (and insurance company) even if my payrolls decrease?
  8. Does the broker have staffing company  references?

Finally, your broker should be an advocate for your staffing company with the insurance carrier.  From making sure you are using the most correct (and least expensive comp codes) for your business,  to selecting the right insurance program for your staffing business as it grows.

David Schek
Leasttaff.com
202-302-1212

For a Free quote visit us at www.NewCompQuote.com