Situation

A fast growing sign company specializing in high quality custom fabrication and professional sign installation was suffering a series of very large workers’ comp losses. With an experience modification rate of 1.83 and a business with inherent exposures including elevated work and high voltage electrical the company seemed doomed to be forever in the assigned risk pool. What made matters worse was the main area of operation included North Jersey and New York City. This created an additional public liability exposure that if not properly controlled could easily result in six figure lawsuits.

Solution

1. Review claims reserves with the carrier’s adjuster
   • Discrepancies were found that favored the insured. JGS, on the insured’s behalf requested the carrier to make the revisions.
2. Implement a safety program
   • Specialized training addressed fall hazards, working near power lines and protecting the public from elevated work. Educated the owners on the contractual liabilities and labor law 240 exposures that are unique to New York.
3. Perform unannounced site visits
   • The client gave JGS the authority to stop any work performed in an unsafe manner. Work was not to resume until corrections were made and management notified.

Outcome

• We were able to obtain reserve reductions totaling over $180,000. This accounted for a 20% reduction in total incurred over a three year period.
• With JGS assistance and the insured’s commitment to safety there has not been a lost time accident in the past 18 months.

After consulting with us, our client was well on the way to a major reduction in premiums, increased profitability and achievable safety standards

 
 
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