From the Front Lines: Workers Compensation

How did you get started at your agency?

I started with Insure Forward in 2006. First, I trained with our personal lines customer service agents and started selling personal lines insurance after six months, before slowly transitioning into small commercial business. I relied heavily on the help of good underwriters and experienced agents to learn the business in my first year. I also took advantage of training opportunities, such as those offered by insurance companies to new agents.

Why workers compensation?

Workers comp costs can be controlled with risk management more than other lines of insurance. I have spent a lot of time learning how to control costs related to workplace injuries, and I use this knowledge to help my clients. It’s very rewarding to see my efforts and those of my clients pay off.

Biggest workers comp changes?

Rates are trending downward, and that may well continue. Improvements in technology will help control losses and manage claims. An experience modification rate (EMR) of 1 is average, but the downward trend in rates means that the average EMR of 1 today is not as good as the average EMR of 1 tomorrow. That means you must be better tomorrow than you are today.

Biggest workers comp challenges?

Employers need to continue to improve their risk management programs, and agents need to provide more value than they do today. Also, the traditional insurance agency needs to change to keep up with technology and the expectations of the decision-makers who purchase insurance.

Future of workers comp?

Automation is going to make the commodity transactions simpler, while complex transactions will require help from an agent with knowledge. An agent who wants to sell workers comp insurance in the future needs to provide consultation to the client that distinguishes their service from automated service.

Workers comp advice for a fellow agent?

Don’t throw away loss control recommendations from the carrier loss control representative. Take risk management seriously and do as much as you can to learn about workers comp insurance. Also, make an effort to attend loss control meetings with your carrier rep.

Favorite workers comp success story?

I informed a valued client that it would take three years to improve their EMR. My client could have done what many prospects do, which is to blame the system and take the position that any effort on their part is a waste of time. But this client accepted the challenge and made a commitment to work diligently with me to reduce their costs related to workplace injury.

Three years later, their EMR improved beyond what they believed it would be when we first started, and they recognized the positive contribution to their strengthened financial position. But there is no time to rest. Our efforts must continue to keep moving in the right direction.

Will Jones is the IA assistant editor.