why does it matter where workers compensation comes from?

Marketability. Asset Manager’s workers compensation class codes are highly marketable and often a top target for insurance carriers each year. Ability to market this insurance freely is key.

Cost. Workers compensation is priced per $100 of payroll and does not have a cap. In an industry that often has large payroll, even a small change in price per $100 can have an outsized premium savings.

Lack of Transparency. The renewal terms and cost of the policy may be blended with additional services making it hard for Asset Managers to monitor and control.

Missed Coverage. Often, we find gaps in coverage as it relates to use of third-party contractors and employees who are injured outside of the country. 

Risk Control. All Asset Manager’s workers compensation have a “modification” that can materially increase the price of a policy. This must be protected to maintain low rates.

hidden Surprises

#1 / We often find that a review and marketing of a Workers Compensation policy by our team can lead to a premium reduction, even if the Asset Manager does not choose to move forward with unbundling from a PEO or payroll provider.

#2 / Payroll providers and PEO’s point to the administrative burden to disincentive their client’s from removing the Workers Compensation, BUT most standard carriers have a robust reporting system with auto pay option that make it easy for our clients to navigate.