The workers’ pay insurance section at Unified Species has been performing very well recently, on various other lines of business in the hard industry insurance market. Worker compensation continues to be a lucrative path for most providers as claims and regularity duties have declined due to remote function setup, and prices have remained the same. Partly as a result of this bottleneck, the 2022 5 Star Worker Pay award winners have provided outstanding solutions and support to their brokers and customers.
Despite the solid market efficiencies, there are some possible bottlenecks. A current survey conducted by the National Council on Payments Insurance (NCCI) determined that some of the main concerns for workers’ pay insurance providers by 2022 are the adequacy of rates and COVID-19, as well as workforce and work environment shifts and rising clinical costs.
Regarding pricing, Chris LaMantia, chief marketing officer at Omaha Nationwide, 5 Star honorary champion, said: “In 2021, we see steady price conditioning leading to a steady increase in the proportion of industrial accident year losses. Omaha Nationwide is fortunate that we regularly generates a much smaller proportion of losses than the industry average. In the coming years, we anticipate to see price support before starting to rise in light of the industrial crash year results.”
On the other hand, Jeff Cole, AVP of national accounts for Sentry Insurance, also an honorary champion, said that the workers’ compensation market has continued to touch historical record results. “Looking ahead, it shows that the previous year’s reserve rollout that has affected reported results is energy shedding versus an increasing proportion of losses in recent years. We anticipate prices to be slightly favorable levels next year.”
Another champion, Sandy Cyr, deputy state chief of workers pay at GUARD Insurance Company Berkshire Hathaway, said that workers’ compensation is a healthy and balanced line of insurance and that by 2020, the combined proportion available is under 90%. “Generally, the work environment is safer, but there are concerns about what comes before the adequacy of tariffs as we see price declines year over year and wait for the post-COVID workplace to expose itself,” he said.
Regarding COVID, he included: “While the pandemic is affecting the insurance industry at large, worker pay has been hit hard. The quantum leap in the workforce in 2020, largely due to lockdowns and layoffs, hindered the development of premiums for lines — down 10% innings. according to the NCCI. In 2015, we saw an increase in quantity, but experts seem to agree that we may not return to pre-pandemic levels until early 2023.”
This year’s winners are divided into 13 categories: claims processing, customer support, cost-effective, most versatile, loss-prone programs, building, hospitality, manufacturing, loss control solutions, high-risk workers compensation conditions, low-risk workers compensation conditions, technology companies and interactions.
Omaha Nationwide wins in claims processing, which is thought about its specific stamina. “We perform all internal claims management functions at the highest level of quality and solution,” said LaMantia. The company has also won customer support, attributing its achievements to preserving the human touch and quick solutions, and he says that automated solutions will never be used to answer the phone. When it comes to affordability, LaMantia remembers that Omaha Nationwide provides a high-end business that others might avoid.
On the other hand, Cyr says Berkshire Hathaway GUARD provides extra savings to insureds who maintain programs designed to reduce harm for certain exposures, such as safety committees, and motivate smaller companies to pool their workers’ compensation experience to potentially generate dividends. “If giving our customers a cost loss under a certain loss reduction method makes sense, we’ll do it,” Cyr said. Berkshire Hathaway GUARD also won customer support, also citing their human touch and ability to adapt personnel and technology to their client’s needs as key considerations of their achievement.
When it comes to affordability, LaMantia remembers that Omaha Nationwide provides a high level of business that others might avoid. On the other hand, Cyr says Berkshire Hathaway GUARD provides extra savings to insureds who maintain programs designed to reduce harm for certain exposures, such as safety committees, and motivate smaller companies to pool their workers’ compensation experience to potentially generate dividends. “If giving our customers a cost loss under a certain loss reduction method makes sense, we’ll do it,” Cyr said.
On the other hand, Sentry Insurance wins in a loss-prone program, and the company attributes its success to excellent customer support and providing high-quality services and products that allow customers to concentrate on their business.
For buildings, LaMantia reiterates the leading company statement: “Omaha Nationwide offers companies that develop America and keep them operational.” The company supports employees to bounce back and earn full paychecks, and aims to prevent fraud and abuse, he said.
After that there is hospitality, which is an effective niche for the Berkshire Hathaway GUARD. “Food handlers, hotel-motel owners, restaurant owners – these are low-risk areas with the right needs,” Cyr said. He added that understanding safety goes a long way toward reducing work-related injuries such as slides, falls and cuts.
Both Omaha Nationwide and Berkshire Hathaway GUARD have won for loss control solutions. The former cites safety products to help enable the best methods, and the latter provides everything from online resources to on-site evaluations to OSHA recommendations – whatever it takes for all dimensions of the company.
Regarding the honor of the state of high-risk workers’ compensation, LaMantia said: “We have widespread hunger, but high-risk, high-level businesses are where we stand out. This is a great setting for our concentration on superior claims management. Claims don’t make us afraid.”
About the company’s achievement in a low-risk worker’s compensation state, he said that while Omaha Nationwide primarily composes high-level businesses, the company is more than happy to cite lower-priced courses in mix with higher-level courses.
As part of the survey, the Insurance Business also asked individuals to place the following categories in terms of importance. From the highest to the most affordable, namely affordable prices, claims handling, financing expertise, risk reduction, available technology, and item range.
Regarding affordability, Omaha Nationwide takes every risk centered on its own profit and helps manage claims to help save clients money on time. On the other hand, Sentry Insurance has effective cost control tools, such as a national pharmacy program – with savings of around 30% listed under retail costs – and PPO discounts and sourcing lawsuits, subrogations and investigations to help control costs.
“Our approach to managing workers’ compensation claims has separated us from the industry with a lower-than-average proportion of losses for several years,” said Cyr of claims handling Berkshire Hathaway GUARD. “Many factors have added to our success, consisting of very early treatment, affordable clinical management and return to work assignments.”
In terms of financing expertise, LaMantia says that Omaha Nationwide doesn’t just rely on formulas but digs up information and conducts research, allowing insurers to quote some risks that would otherwise be reduced.
Regarding Sentry Insurance’s financing process, Cole describes it as “built around understanding our customers’ business and the industry they are in. We manufacture individual insurance items that best suit each customer’s specific circumstances.”
He said that to reduce risk, “Sentry Insurance offers certified safety specialists and fleet solutions experts who help guide our customers through risk situations, regulatory demands, education, and program gaps. We want to help our customers save lives, time and money by helping they prevent harm from happening in the first place. We also have certified commercial hygienists skilled in assessing ecological hazards and occupational health and well-being.”
Both Omaha Nationwide and Sentry Insurance have their own systems for available technology. The former, called Oncore, is a proprietary and broad enterprise application, and the latter technology, an effective risk management system, equips brokers, representatives and customers to manage online claims, monitor tasks and generate loss records – done in real time.
And regarding the item range, LaMantia describes Omaha Nationwide as a monoline worker payment company that performs all the main internal functions and offers 3 ways to pay, comprising the popular pay-premium-as-you-go payroll solution.
On the other hand, Sentry Insurance items consist of conventional paid monthly loss plans, monthly continuous loss plans, pre-fund and cross plans, standard retro sustainable, loss cost multiplier plans and extra coverage for self-insured persons.