As you know, trucking is a demanding profession. Workers’ compensation coverage responds when an employee gets hurt on the job, and it is essential for protecting both your company and your drivers from unforeseen circumstances.
Despite the considerable efforts to minimize accidents and support drivers in their roles, the nature of trucking brings inherent challenges. Long hours on the road, material handling, and risks associated with slips, trips, falls, and equipment operation all contribute to the potential hazards that truck drivers face daily.
DOES YOUR BUSINESS NEED WORKERS’ COMPENSATION INSURANCE?
Workers’ compensation insurance is a highly regulated form of coverage, and most states mandate that businesses maintain a certain level of protection. Compliance with state workers’ compensation requirements is essential for trucking companies. Failure to comply can result in significant fines, legal actions and huge out-of-pocket expenses. If you have even one employee, it’s best to check on your state’s workers’ compensation requirements.
WHAT DOES WORKERS’ COMPENSATION INSURANCE HELP PAY FOR?
Workers’ compensation insurance provides financial protection for employees who suffer work-related injuries or illnesses. It covers medical expenses, lost wages and other related costs — ensuring injured workers receive the necessary support to recover and the business doesn’t have to absorb all those costs itself.
Additionally, it offers disability benefits, which vary based on the severity and duration of the disability. In the worst cases, when there is a work-related death, it covers funeral expenses and provides financial support to the deceased worker’s family. Employers’ liability coverage is also included, responding when employers face liability for work-related injuries or diseases.
BEYOND COVERAGE: BENEFITS TO LOOK FOR IN A WORKERS’ COMPENSATION PROVIDER
State regulators set the coverage benefits provided to injured workers by workers’ compensation insurance, but that does not mean all insurance options will provide the same value. Beyond providing the regulated coverage, your workers’ compensation insurance can be a partner to help your employees get the right treatment and ensure your business is only paying for what you should.
Some services to look for include:
1. Nurse Triage Line
A nurse triage line provides immediate medical advice to injured employees, helping to determine the severity of the injury and the appropriate course of action. This can prevent minor injuries from becoming more serious and ensure employees receive timely medical care. Additionally, a nurse triage line can help reduce workers’ compensation claims by addressing injuries before they escalate. It also can control costs by directing employees to the appropriate venue, for example, an emergency room, urgent care or virtual visit, to treat their injury.
2. Bill Review Services
Bill review services are another important service to look for in a workers’ compensation insurance provider. These services review medical bills to ensure charges are accurate and reasonable. By identifying and disputing excessive, unnecessary or incorrectly billed charges, bill review services can help control the cost of workers’ compensation claims and ensure employers are only paying for necessary medical expenses.
3. Return-to-Work Programs
Return-to-work programs are designed to help injured employees’ transition back to work as soon as they are medically able. These programs can include modified duties, reduced hours or temporary assignments that accommodate the employee’s physical limitations. By facilitating a smooth return to work, these programs can reduce the financial impact of workers’ compensation claims and improve employee morale.
4. Loss Control Services
Loss control or risk management services can help you reduce your risk of loss and keep workers safer. These teams and their focus vary by company, but they can provide significant value by keeping workers safer and reducing claims. For example, Acuity Insurance’s loss control team is made up of safety professionals with decades of experience and who visit customers to assist them with safety initiatives. They work as partners to identify areas of opportunity and to minimize or eliminate risk.
As you consider your insurance options, it’s important to check whether your insurance company provides these services and if it provides them for free. Some insurance companies provide these services for free to their insureds. Other carriers charge insureds for using these services, which increases their claims costs, experience modifications and, in turn, insurance costs.
ADVOCATING FOR YOUR BUSINESS TO SECURE YOUR BEST PRICE
Not all states allow insurance carriers to modify rates for workers’ compensation insurance. However, if a state allows price adjustments, there are things you may be able to do to advocate for the best premium for your company.
Work with the right partners
An independent insurance agent who understands trucking can simplify your process by preparing your case to present to insurance companies and can ask the right questions to help you gather relevant information. Choosing an insurance company that understands trucking can help simplify the process further. Those carriers understand the differences between trucking companies and how those differences translate to risk. They can then provide discounts where applicable and ask the right questions to make sure your business is adequately protected.
Implement safety programs
Safety is a critical aspect of determining premiums in workers’ compensation insurance. Implementing effective loss control measures can reduce the likelihood of accidents and injuries and can help you secure lower premiums. Programs to highlight when presenting your business to a new insurance company include driver training programs, maintenance programs and safety procedures. Showing your programs and results can help your insurance partner understand your risk compared with industry averages and then provide you with the best available rate for your business.
Geographic coverage
When choosing a workers’ compensation insurance provider, it’s crucial to consider the geographic footprint, especially in the trucking industry, for which operations span vast distances. Having an insurer with extensive coverage geographically ensures that no matter where your drivers are, they can receive prompt and efficient claims handling.
Workers’ compensation insurance is essential for protecting both employees and employers in the trucking industry. Beyond ensuring compliance with state regulations, choosing a provider that offers comprehensive support services can help trucking companies mitigate risks and maintain a safe, productive and profitable work environment.
about the author
Brittney Passini is the director of commercial lines product development at Acuity Insurance. She works with cross-functional teams to identify market trends and develop innovative products, services and coverages that meet the evolving needs of commercial insurance policy owners.
