All posts by Scott Eisland

Scott is a rising senior at the University of Maryland, College Park. He is majoring in both Finance and Marketing, and has little to no idea what he wants to do with his life. This is his first year at Metropolitan Risk.
Other

Most Common FMLA Questions

[av_textblock size=” font_color=” color=” av-medium-font-size=” av-small-font-size=” av-mini-font-size=” av_uid=’av-k6mecpal’ id=” custom_class=” admin_preview_bg=”]
The Federal Family and Medical Leave Act (FMLA) and state workers’ compensation laws may both cover an employee who suffers a serious health condition while on the job. The Department of Labor (DOL) has issued revised regulations that implement the Federal Family and Medical Leave Act. Though the interplay between the FMLA and workers’ compensation leaves was addressed within those regulations, a number of DOL letter rulings have also clarified the interaction of these laws.

Metropolitan Risk Advisory Risk Insights will answer any common questions regarding employee leave that qualify for protection under FMLA and workers’ compensation laws.

[/av_textblock]

[av_iconlist position=’left’ iconlist_styling=” animation=” custom_title_size=” custom_content_size=” font_color=” custom_title=” custom_content=” color=” custom_bg=” custom_font=” custom_border=” av-medium-font-size-title=” av-small-font-size-title=” av-mini-font-size-title=” av-medium-font-size=” av-small-font-size=” av-mini-font-size=” av_uid=’av-k6me3wb2′ alb_description=” id=” custom_class=” admin_preview_bg=”]
[av_iconlist_item title=’1: Does FMLA leave run concurrently with a workers’ compensation absence?’ heading_tag=” heading_class=” link=” linktarget=” linkelement=” icon=’ue871′ font=’entypo-fontello’]
The employee’s FMLA leave entitlement may run concurrently with a workers’ compensation absence when the injury is one that meets the criteria for a “serious health condition.” Thus, an employee could receive workers’ compensation benefits to replace lost wages. At the same time having health benefits maintained under the Family and Medical Leave Act. If appropriate, the employer must be sure to designate this leave as FMLA-qualifying leave and give notice to the employee. If the employer fails to designate this leave as FMLA leave, the employee may still be entitled to FMLA leave. This applies once the workers’ compensation absence has ended.
[/av_iconlist_item]
[av_iconlist_item title=’2: Can an employer require an employee to substitute accrued paid leave if the employee is on workers’ compensation and Family and Medical Leave Act leave?List Title 2′ heading_tag=” heading_class=” link=” linktarget=” linkelement=” icon=’ue871′ font=’entypo-fontello’]
Since the workers’ compensation absence is already considered paid leave, the provision for substitution of the employee’s accrued paid leave for unpaid FML leave does not apply. If the employee has elected to receive workers’ compensation benefits, the employer cannot require the employee to substitute any accrued paid leave for any part of the absence that is covered by the payments under a workers’ compensation plan. An employee is also precluded from relying upon the FMLA’s substitution provision to insist upon receiving both workers’ compensation and accrued paid leave benefits during such an absence. Employers and employees may agree, where state law permits, to have paid leave supplement the disability plan/workers’ compensation benefits. This is in the case where a plan only provides replacement income for two-thirds of an employee’s salary.
[/av_iconlist_item]
[av_iconlist_item title=’3: What benefit is an employee entitled to while on concurrent workers’ compensation and FMLA leave?List Title 3′ heading_tag=” heading_class=” link=” linktarget=” linkelement=” icon=’ue871′ font=’entypo-fontello’]
If the employer designates the workers’ compensation absence as Family and Medical Leave Act leave, then the employee is entitled to all employment benefits accrued prior to the date on which the leave commenced. The FMLA does not entitle the employee to the accrual of any seniority or employment benefits during any period of FMLA leave, nor to any right, benefit or position of employment other than that to which he or she would have been entitled had the employee not taken the leave. Thus, an employee on FMLA leave does not accrue seniority or employment benefits during the absence by operation of the FMLA. Nevertheless, in addition to the group health benefits guaranteed under the FMLA, an employee on FMLA leave, whether paid or unpaid, may be entitled to additional benefits while absent, depending on the employer’s established policy for providing such benefits when employees are absent on other forms of leave.

[/av_iconlist_item]
[av_iconlist_item title=’4: How may an employee on concurrent workers’ compensation and FMLA leave pay for group health coverage? For other non-health benefit premiums?’ heading_tag=” heading_class=” link=” linktarget=” linkelement=” icon=’ue871′ font=’entypo-fontello’]
An employee who is receiving payment as a result of a workers’ compensation injury must make arrangements with the employer for payment of group health plan benefits when simultaneously taking unpaid FMLA leave. It is important that the employer make such arrangements with the employee in advance of the leave or shortly after the leave begins since the FMLA provision for recovery of the employer’s share of health insurance premiums does not apply. That is, the FMLA statute only authorizes the recovery of the employer’s share of insurance premiums that are paid to maintain coverage for the employee under a group health plan during any period of unpaid leave. Leave taken pursuant to a workers’ compensation plan is not unpaid leave within the meaning of the FMLA.

Likewise, an employer will also want to make prior arrangements for employee payment of other non-health benefit premiums when an employee is receiving payment as a result of a workers’ compensation injury and is simultaneously taking unpaid FMLA leave. Again, neither the FMLA statute nor its regulations provide for the employer’s recovery of any such premiums paid during a paid leave as opposed to during an unpaid leave.
[/av_iconlist_item]
[av_iconlist_item title=’5: What may an employer do if it questions the adequacy of a medical certification?’ heading_tag=” heading_class=” link=” linktarget=” linkelement=” icon=’ue871′ font=’entypo-fontello’]
If an employee is on FMLA leave running concurrently with a workers’ compensation absence, and the provisions of the workers’ compensation statute permit the employer or the employer’s representative to have direct contact with the employee’s workers’ compensation health care provider, the employer may follow the workers’ compensation provisions. That is, the employer may have direct contact with the employee’s health care provider in the manner in which the workers’ compensation statute provides. Further, the revised Federal Family and Medical Leave Act regulations also provide that an employer can contact an employee’s health care provider to authenticate or obtain clarification of the medical certification, so long as the employer has first given the employee a chance to cure any deficiencies.
[/av_iconlist_item]
[av_iconlist_item title=’6: Is an employee required to return to a “light duty” job when it is not the same job or is not equivalent to the job the employee left?’ heading_tag=” heading_class=” link=” linktarget=” linkelement=” icon=’ue871′ font=’entypo-fontello’]
If the health care provider treating the employee for the workers’ compensation injury certifies the employee is able to return to a light-duty job, the employee may decline the employer’s offer of a light-duty job if it is not the same or is not an equivalent job to the job the employee left. However, as a result of turning down such a light-duty job, the employee may lose workers’ compensation payments but is entitled to remain on unpaid FMLA leave until the Family and Medical Leave Act entitlement is exhausted. Additionally, when the workers’ compensation benefits cease, the employee may elect or the employer may require the use of accrued paid leave.

If the employee accepts the light-duty position in lieu of Family and Medical Leave Act leave or returns to work before the FMLA leave entitlement ends, the employee retains the right to the original or to an equivalent position. However, the period of time employed in a light-duty assignment cannot count against the Family and Medical Leave Act leave entitlement. The right to restoration is held in abeyance during the period of time the employee performs a light-duty assignment. That right is not unlimited and ceases at the end of the applicable 12-month FMLA leave year. Restoration is dependent on the employee’s ability to perform the essential functions of the same or equivalent position at the end of FMLA leave.

[/av_iconlist_item]
[av_iconlist_item title=’7: What happens to an employee on concurrent workers’ compensation and FMLA leave once the Family and Medical Leave Act leave entitlement has run out?’ heading_tag=” heading_class=” link=” linktarget=” linkelement=” icon=’ue871′ font=’entypo-fontello’]
If the employee is unable to return to work or is still in a light-duty job after the Family and Medical Leave Act leave entitlement has run out, the employee no longer has the protections of the FMLA and must look to the workers’ compensation statute or to the federal Americans with Disabilities Act (if the employee is a “qualified individual with a disability”) for any further relief or protections.
[/av_iconlist_item]
[/av_iconlist]

[av_textblock size=” font_color=” color=” av-medium-font-size=” av-small-font-size=” av-mini-font-size=” av_uid=’av-k6mee76b’ id=” custom_class=” admin_preview_bg=”]
Please contact Metropolitan Risk Advisory with any questions.
[/av_textblock]

Other

What is hired and non-owned auto insurance?

Non-Owned Automobile Liability

If you do not own a car but frequently borrow other people’s cars, rent cars or use a car-sharing service, non-owner auto insurance offers you coverage if you cause an accident. Non-owned automobile liability can be extremely severe in many cases.

This type of insurance covers you for damage you cause to someone else’s car in an accident. It also covers liability for injuries to the occupants of the other car or to pedestrians.

You should also consider the coverage if you do not currently own a car but will in the future. Having continuous insurance coverage will help keep your premiums low when you purchase a policy for a new car.

Scenario:

Jordan lives in Chicago, a city with great public transportation, so he does not own a car. Once every few months, he borrows his friend Alex’s car to drive to the nearest warehouse club store to stock up on necessities. He tends to buy a lot of stuff, and borrowing Alex’s car instead of trying to take his purchases home on the train is much easier.

While driving back to his apartment after one of his shopping trips, Jordan became distracted, failed to stop at a stop sign and rear-ended the driver in front of him. The other driver suffered damage to her car as well as neck injuries.

Jordan called Alex right away to tell him what happened. This obviously upset Alex, but Jordan told him not to worry—he had just recently purchased a non-owner auto insurance policy.

Jordan had been borrowing his friend’s car so often, he thought it was a good idea to protect himself in case of an accident. Alex was relieved, since the damages Jordan caused in the accident exceeded the limits of Alex’s liability coverage. Jordan’s non-owner policy covered the excess costs.

 

Non-owned automobile liability is a very real issue that many of us face multiple times a year. Metropolitan Risk Advisory can further explain hired non-owned auto insurance coverage to you and help you determine if it is a fitting option for you. Contact us today at (914) 357-8444.

HR Challenges

2018 Minimum Wage Requirements

With the new year comes new laws, regulations and revisions to existing laws. Staying in front of the new minimum wage requirements is an operational imperative. Here is a concise overview from our Think HR Human resource tool for our existing clients.

Overview :

The current federal minimum wage rate is $7.25 per hour. However, many states have adopted minimum wage rates higher than the federal rate. When the state rate and the federal rate are different, employers must pay their employees the higher rate. The following states have adopted new minimum wage rates for 2018:

·  Alaska ·  Maryland ·  Oregon
·  Arizona ·  Michigan ·  Rhode Island
·  California ·  Minnesota ·  South Dakota
·  Colorado ·  Missouri ·  Vermont
·  Florida ·  Montana ·  Washington
·  Hawaii ·  New Jersey ·  Washington D.C.
·  Maine ·  New York

 

Action Steps

Affected employers should review their employees’ pay rates and update their minimum wage poster notices as necessary to ensure compliance with local wage and hour regulations.

New York – Minimum Wage as of 1/1/2018

Affected Employers New Rate Effective Date
New York City (NYC) large employers: At least one employee in NYC and 11 or more employees among all other worksites at any time during the current or prior calendar year. (This minimum wage rate is payable to any employees that work in NYC.) $13 Dec. 31, 2017
NYC small employers: At least one employee in NYC and 10 or fewer employees among all other worksites at any time during the current or prior calendar year. (This minimum wage rate is payable to any employees that work in NYC.) $12 Dec. 31, 2017
Employers in Long Island and Westchester $11 Dec. 31, 2017
Employers in the remainder of the state of New York $10.40 Dec. 31, 2017

California :

Affected Employers New Rate Effective Date
Employers with 26 or more employees $11 Jan. 1, 2018
Employers with 25 or fewer employees $10.50 Jan. 1, 2018

Other States :

State 2018 Rate New Rate Effective Date Tip Rate/Notes

(Employees must qualify for tip rate before the rate applies)
Alabama $7.25 N/A No state minimum wage rate. The federal rate applies.
Alaska $9.84 Jan. 1, 2018 Tips do not count toward the minimum wage.
Arizona $10.50 Jan. 1, 2018 $3 below minimum wage rate for tipped employees.
Arkansas $8.50 N/A $2.63 rate for tipped employees.
Colorado $10.20 Jan. 1, 2018 $7.18 rate for tipped employees.
Connecticut $10.10 N/A 36.8 percent gratuity allowance for waitpersons and 18.5 percent for bartenders.
Delaware $8.25 N/A $2.23 rate for tipped employees.
D.C. $13.25 July 1, 2018 $3.89 rate for tipped employees.
Florida $8.25 Jan. 1, 2018 Rate for tipped employees follows federal guidelines (currently $2.13 per hour).
Georgia $5.15 N/A The $7.25 federal rate applies to employers covered by the FLSA.
New Mexico $7.50 N/A $2.13 for tipped employees.
North Carolina $7.25 N/A $2.13 for tipped employees.
North Dakota $7.25 N/A $4.86 for tipped employees.
Ohio $8.30/$7.25 N/A $4.15 for tipped employees. The $7.25 rate is for employers grossing $299,000 or less.
Oklahoma $7.25/$2.00 N/A The $7.25 rate applies to employers with 10 or more full-time employees at any one location and employers with annual gross sales over $100,000; all others are subject to state minimum wage of $2.00.
Oregon $10.75 July 1, 2018 No tip credit allowed. The minimum wage rate for the Portland metro area will increase to $12 per hour and to $10.50 in nonurban counties.
Pennsylvania $7.25 N/A $2.83 for tipped employees.
Rhode Island $10.10 Jan. 1, 2018 $3.89 for tipped employees.
South Carolina None N/A
South Dakota $8.85 Jan. 1, 2018 $4.425 for tipped employees.
Tennessee None N/A
Texas $7.25 N/A $2.13 for tipped employees.
Utah $7.25 N/A $2.13 for tipped employees.
Vermont $10.50 Jan. 1, 2018 $5.25 for tipped employees.
Virginia $7.25 N/A $2.13 for tipped employees.
Washington $11.50 Jan. 1, 2018 No tip credit allowed.
West Virginia $8.75 N/A Employers can take a tip credit of up to 70 percent of the state rate.
Wisconsin $7.25 N/A $2.33 for tipped employees
Wyoming $5.15 N/A $2.13 for tipped employees. The $7.25 federal rate applies to employers covered by the FLSA.
Georgia $5.15 N/A The $7.25 federal rate applies to employers covered by the FLSA.
Hawaii $10.10 Jan. 1, 2018 $9.35 for tipped employees.
Idaho $7.25 N/A $3.35 per hour for tipped employees.
Illinois $8.25 N/A Credit for tips may not exceed 40 percent of the applicable minimum wage.
Indiana $7.25 N/A $2.13 for tipped employees.
Iowa $7.25 N/A $4.35 for tipped employees.
Kansas $7.25 N/A $2.13 for tipped employees.
Kentucky $7.25 N/A $2.13 for tipped employees.
Louisiana $7.25 N/A No state minimum wage rate. The federal rate applies.
Maine $10 Jan. 1, 2018 Tip credit cannot exceed 50 percent of the minimum wage rate.
Maryland $10.10 July 1, 2018 $3.63 for tipped employees
Massachusetts $11.00 N/A The service rate is $3.75.
Michigan $9.25 Jan. 1, 2018 $3.52 for tipped employees.
Minnesota $9.65/$7.87 Jan. 1, 2018 No tip credit allowed. Higher rate applies to large employers. Lower rate applies to small employers.
Mississippi $7.25 N/A No state minimum wage rate. The federal rate applies.
Missouri $7.85 Jan. 1, 2018 $3.85 (half the current minimum rate) for tipped employees.
Montana $8.30/$4 Jan. 1, 2018 No tip credit, meal credit or training wage is allowed. The lower rate applies to business with gross annual sales of $110,000 or less.
Nebraska $9.00 N/A $2.13 for tipped employees.
Nevada $8.25/$7.25 N/A The $8.25 rate applies to employees without health benefits. The $7.25 rate applies to employees with health benefits. No tip credit allowed.
New Hampshire $7.25 N/A Tipped employees must receive 45 percent of the applicable rate.
New Jersey $8.60 Jan. 1, 2018 $2.13 for tipped employees.

 

For more information on minimum wage requirements in your state, contact Metropolitan Risk today!

Commercial Auto, HR Challenges, Human Services Practice Group Content

Driver Safety Policy Options For Home Healthcare Agencies

Do you run a home health care agency where employees use their own car? If so, it is essential that you have a specifically designed implemented driver safety policy. Home health care agency employees often find themselves pressed for time. It would be understandable for an employee to feel obligated to drive a little recklessly to make it to their job in time. On top of this, one of your employees may be traveling with a customer, further increasing your liability.  
 
According to the Labor Department, the leading cause of work-related fatalities involved vehicular accidents. 23% of all work-related deaths were due to vehicular accidents to be exact. This number leads to an estimated $250 billion dollars of expenses handed on to employers. These expenses are not to cover the cost of the auto accident itself(and all the injuries that may incur), but workers compensation costs as well as increased insurance premiums. 

Home Healthcare Driver Safety Tips

 

  • Have an MVR reporting system. This is where employees’ driver’s license is run automatically to identify candidates or employees with unsafe driving records. Any time an employee commits a driving infraction you will know right away. By hiring safer drivers, you reduce a large chunk of your risk associated with your business.
    • Some agencies run a yearly report and think this is enough, but drivers can get in trouble a week after the report is done. This happens more often than you think! CLICK HERE for more info on an MVR Reporting Service.
  • Make sure your employee handbook states that employees who will be driving their own vehicles must have purchased at least $500,000 worth of auto liability insurance.
    • This way, if an employee gets into an accident, it is his/her policy that is first in line. If your employees are only carrying the minimum amount of insurance, you can be responsible for the remaining amount of damage. Make sure to check your employees’ auto liability coverage on a yearly basis to avoid being liable. 
  • Make sure to have hired and non-owned auto liability insurance. This will protect your business from liability when you or your employees are driving their own vehicles for work-related purposes.
 
Before working for Metropolitan Risk, I worked for a pool maintenance/cleaning company. My duties often consisted of driving from house to house to clean pools and check up on heaters and filters. While I was able to avoid getting into any accidents, a co-worker of mine was not as lucky. After getting into an accident on the open road, our employer was completely liable for the charges. Had he not neglected to take any insurance precautions earlier, he would have saved a lot of money. Don’t cut corners with your business, it will catch up to you in the long run. 
 

Click Here to Contact Us

 
Make sure to follow these steps to keep your risk and your costs as low as possible. If you have any further questions and wish to speak to an advisor, give us a call now at (914) 357-8444!
Risk Management

How To Set The Best Passwords For Your OnLine Activites

What’s the longest you’ve ever spent when trying to create a new password that 1) You will remember and 2) Satisfies your particular website’s password requirements? It’s taken me up to fifteen minutes before and that is not an exaggeration. I know you are all sick and tired of getting this message: “Sorry that password won’t work, you must include: a symbol, a number, a hieroglyphic, a gang sign, your favorite poem, an inspiring quote and an uppercase letter.” Here are some ideas for setting up the best passwords for your online activities.

According to a recent Wall Street Journal Article;  in 2003  Bill Burr published an 8-page primer advising people to protect their accounts by inventing awkward new passwords with obscure characters, capital letters and numbers, and to change them regularly. Earlier this month, however, Burr admits that his advice ended up largely incorrect, saying “Much of what I did I now regret.”  

When people change their passwords every 90 days or so, they are usually making very minor changes. These changes can be extremely easy to guess. For example, changing Ba$eball1! to Ba$eball2! isn’t exactly going to prevent hackers from breaking in. Here are some new tips on developing a great, secure password.

  • Drop the password-expiration advice and the requirement for special characters. Studies show they do very little for security, and multiple security experts say they “actually have a negative impact on usability.” And don’t use common substitutions, either! For example, “H0use” isn’t strong just because you’ve replaced an o with a 0. That’s just obvious.
  • Stay away from obvious dictionary words and combinations of dictionary words. Any word on its own is bad. Any combination of a few words, especially if they’re obvious, is also bad. For example, “house” is a terrible password. “Red house” is also very bad.
  • The longer the password, the harder it is to crack. Consider a 12-character password or longer.

We have too many passwords: almost three in five adults have five or more unique passwords, and nearly one in three have more than 10, according to a study by Janrain, a user management company.

The result is serious fatigue, to the point where one in three think solving world peace is easier than trying to remember all their passwords. With stats like these, is it any surprise that we collectively hate passwords?

As a result, people like me do dumb things, creating a few password variations to help an increasingly untenable situation. Or we do even dumber things, like use passwords such as “password” or “123456.” Or we create a “base” password and add a variation for each site. We know it’s stupid, but we’re driven to these solutions because we are lazy/our memories just can’t remember all those passwords. Consider John Podesta , Hillary Clinton’s campaign chair set his password for his account as “password” which is how the Russian’s stole all those emails. Easily one of the greatest bone head moves of all time in hindsight. Don’t be a Podesta.

Difficulty in remembering creates dangerous security backdoors that hackers are absolutely loving. So do yourself a favor and follow those three tips to building a safe and secure password. Lastly make sure your cyber liability insurance policy is paid up. All you have to do is watch the news to understand how vulnerable your company really is. If you have any further questions, contact Metropolitan Risk Advisory today!

Workers Compensation Insurance, Workers Compensation Premium Audits

Should You Excercise The Executive Officer Exclusion On Workers Comp Insurance

With insurance mistakes can be hidden for years until a claim arises. Then the error becomes obvious and expensive. One error we see often is when single owner or dual owned businesses voluntarily elect to trigger the executive officer exclusion on their workers comp insurance.

Most states require employers to purchase a workers compensation insurance policy to cover workers who are injured or made ill due to a workplace exposure. If you are an owner and executive officer of a company AND have only one or two executive officers you may exclude yourselves from coverage. Note however there are potential drawbacks to opting out that need to be seriously considered before you make your decision. Further each state has it’s own rules for when and how an executive officer may exclude themselves from coverage. What rules apply to you are contingent on where your company is domiciled and if you are a multi state risk which would be governed by NCCI. 

Executive officers of a corporation are usually included for coverage under each state’s workers’ compensation laws unless they file for an exclusion from the policy. Partners and sole proprietors are generally exempt from coverage but may elect coverage under the workers compensation policy. For the NY State Statutes CLICK HERE.

Benefits of Workers’ Compensation Insurance for Executive Officers 

The benefits are the same for everyone covered under a commercial workers’ compensation policy, including officers. Workers compensation coverage pays benefits to workers injured on the job. These benefits include medical care, a portion of lost wages and permanent disability. It also provides death benefits to dependents of employees killed from a work-related accident.

A typical health insurance policy specifically excludes work-related injuries unless there is a rider attached to the policy that adds business coverage. Furthermore, health insurance does not cover disability the same way that workers’ compensation insurance does. Most times when we are invited into the business to assess how designed a companies insurance program is built we rarely ever see coordination between the corporate health insurance program and the workers compensation insurance program.  

Why would an Executive Officer Exclusion opt out of workers’ compensation insurance?

Many executive officers and business owners make the following assumptions when opting out of workers’ compensation insurance:

  • They assume that their medical insurance is enough to cover them in the event of an injury incurred at the workplace.
  • They assume that they would never want to file a workers’ compensation claim against their own company, so they don’t see the need to pay premiums for a policy that they won’t use.
  • They think they are saving alot of money off the workers compensation premium by excluding themselves.

Drawbacks for Executives Officers of Opting Out:

Even if an executive officer spends the majority of his or her time at a desk, there is still a risk of injury. And if an injury occurs, it’s likely that the officer’s health insurance policy will have an exclusion for work-related injuries. Without workers’ compensation insurance, the cost of treatment for those injuries would have to be paid for by the company, or come out of the pocket of the executive officer.   

Opting out of workers’ compensation insurance may save  money off the workers compensation premium, but it also transfers risk to the employer and to the corporate officer who chooses to opt out. The risk for injury is greater than you think. Many executive officers travel for work and travel to and from meetings. As an exmple if you are traveling in between meetings and injured in a car accident by a person who has little insurance who will pay your medical benefits and lost wages for recovery? The risk is much greater than most people realize which is why we rarely advise our clients to exclude themselves from workers compensation coverage. 

Lastly there is usually an exclusion in the group health insurance for injuries caused at work which should be covered under workers compensation coverage. Rarely is this exclusion ever cooridnated between your health insurance broker and your workers compensation broker. Ultimately this cost will be absorbed by the executive officer sadly.

Additional Premium Charges

If an executive officer rejects coverage, he or she will most likely have to file a form with the state and/or the insurance provider prior to obtaining coverage for the rest of the company. In absence of this notification, the insurance provider will assume that the officer is electing coverage, and will charge him or her a premium. The premiums for executive officer coverage is usually less than a thousand dollars and has a maximum cap for highly compensated executive officers which differs by state. 

Option to Self-insure

With self-insurance, a company can avoid paying workers’ compensation premiums by serving as its own carrier. The catch is that the company has to agree to post a bond or put money aside to pay for any claims that may occur. Each state has its own self-insurance requirements.

Consult Metropolitan Risk Advisory today by CLICKING HERE  if you have questions with regard to covering an executive officer or any other workers compensation related question. 

OSHA, Risk Management, Workers Compensation Insurance

OSHA Proposes Delay to Electronic Reporting

Under the electronic reporting rule of the Occupational Safety and Health Administration (OSHA), certain establishments must report information electronically from their OSHA Forms 300, 300A and 301. In addition, OSHA is required to create a website that can be used to submit the required information.

The original deadline for first reports was July 1st, 2017. However, on a recent update to its webpage, OSHA explained it won’t receive reports by July 1st. This is due to lack of readiness. It has also proposed an extended deadline of December 1st, 2017.

Affected establishments expectedly continue to record and report workplace injuries. Monitor these developments until you officially adopt a new reporting date. The fines for not recording or reporting workplace injuries can be substantial. Further there were recent updates to when a workplace injury is directly REPORTABLE to OSHA which means you must pick up the phone and call them to report you had a workplace injury. To understand that bit of nuance a little better we suggest you refer back to a previous article that highlights that significant change to avoid substantial fines and penalties. CLICK HERE to read the 2017 OSHA Reporting Revisions.

If you have any questions about the OSHA electronic reporting rule, give us a call at (914) 357-8444. You can also click here!

Construction Practice Group Content, General Liability Insurance

Building A Ladders Last Safety Program Yields Cost Savings On Your Construction Liability Insurance

Fall protection and safety is a major concern at construction sites. In fact, OSHA cites injuries from falls as one of its top 10 worksite injuries and a huge driver of insurance costs in states like NY which have laws that specifically address falls from a height.

Falls and falling objects result from unstable working surfaces, ladders not safely positioned and misuse of fall protection. Workers are also subject to falls or the dangers of falling objects if you can not maintain proper protection of sides, edges, floor holes and wall openings. Any time you are working at a height of six feet or more on the construction site, you must be protected.

What is “Ladders Last”?

“Ladders Last” is a program that will save lives. The idea is based on prevention rather than protection. Accomplish this by identifying other means of access and/or elevated work platforms that protect workers and support safe production, rather than defaulting to the choice of a ladder.

We Suggest :

  •       Identifying other means of access and or elevated work platforms that better protect workers and support safe production. 
Devices like scissor lifts, podium ladders, bakers racks or mobile mechanical  hydraulic lifts should be your first option.
  •       Ladders will be used on construction projects only after it has been determined that there is no other feasible method to perform the elevated work. 

  •       All ladder work will be permitted but will require sign off by your Superintendent or your Safety Manager. 

  •       Subcontractors shall complete  a Construction Ladder Use Permit and have it reviewed and approved by the  Superintendent or Safety Manager. 

  •       While working on/from the ladder, 3 points of contact must be maintained at all times. If you can not maintain 3 points, utilize 100% tie off when above a 4’ working height. 

  •       Lanyards will not be acceptable fall protection while working from a ladder. The only acceptable personal fall arrest system used when working from a ladder is retractable. 

  •       Job Built Ladders will only be allowed with approval of the Site Superintendent and Project’s Safety Manager on a case by case basis. 

  •       Extension ladders when Permitted must have walk through extensions. 

  •       Platform Ladders should be the ladder of choice on your construction projects when a ladder has been 
approved.
  •       We also suggest using A Frame ladders when ladders must be used as another potential alternative. 

  •       Daily Ladder Inspection Tag with sign off by user will be attached to each ladder. 

  •       Lastly it’s important that the ladders last program be inserted into your OSHA Site Safety Manual which should be your go to safety document.

Ladder Permits (Please Provide) :

  • Mandatory Engagement (Superintendent / Safety Manager  Project Team inspection of use & sign off) 

  • Elevated documented oversight 

  • Correct ladder size and set-up 

  • Training documentation for use 


National Statistics

  • A new study from the Centers for Disease Control and Prevention found that falls remain a leading cause of death and nearly half of those deadly falls have been from ladders. 

  • Approximately 20% of fall injuries involve ladders. Among construction workers an estimated 81% of fall injuries treated in emergency rooms involve ladders. 

  • Over the last 10 years the amount of ladder-related injuries has increased 50% 

  • The construction industry has the highest Ladder Fall Injuries (LFI) rate compared to other industries 

  • Ladder Fall Injuries (LFI) increase with age 

  • Companies with the fewest employees have the highest fatality rates 

  • Head injuries were implicated in about half of the fatal injuries 

  • More than 90,000 people receive emergency room treatment from ladder-related injuries every year.

WHY

  • Constant misuse
  • Failure to use ladders correctly
  • Failure to inspect
  • Failure to train employees

If you like the concept and want to pursue building your own ladders last program we suggest you start by downloading our FREE GUIDE HERE. Any questions contact one of our Risk Advisors today at (914) 357-8451.

Claims Management, Construction Practice Group Content, Food & Beverage Practice Group Content, HR Challenges, Human Services Practice Group Content, Transportation Practice Group Content, Workers Compensation Insurance, Workers Compensation Premium Audits

Signs of a False Workers Compensation Claim

A false workers compensation claim is more common than you might think.  The sooner you call the sooner we can help you work through it.

The workers’ compensation insurance system is a no-fault method, paying workers for medical expenses and wage losses from on-the-job injuries. Billions of dollars of false claims submitted each year, says The National Insurance Crime Bureau. In New York, insurance fraud looked at as a felony that most perpetrators aren’t aware of when deciding to game the system. Further, it’s the number issue most business owners raise with us when we are invited into their organization to check why their workers compensation insurance costs are so high.  When business owners invite us into their organization to evaluate why their workers compensation insurance costs are so high, its typically the number issue.

Most employers face not only being vulnerable to workers compensation fraud but actually contributing to it as they don’t have the correct policies and procedures in place to help prevent fraud from starting in the first place. To help detect a possible false workers compensation claim, experience shows a claim may be fraudulent if two or more of the following factors are present:

Telltale Signs of a False Workers Compensation Claim:

Monday Morning: The alleged injury occurs either “first thing Monday morning,” or late on a Friday afternoon but not reported until Monday.

Employment Change: The reported accident occurs immediately before or after a strike, a layoff, the end of a big project or at the conclusion of seasonal work.

Workers Comp Fraud

Job Termination: If an employee files a post-termination claim:  

Was this injury reported by the employee before being unemployed?

Did the employee exhaust his/her unemployment benefits prior to claiming workers’ compensation benefits?

History of Changes: The claimant has a history of frequently changing physicians, addresses and places of employment.

Medical History: The employee has a pre-existing medical condition that is similar to the alleged work injury.

No Witnesses: The accident has no witnesses, and the employee’s own description does not logically support the cause of injury.

Conflicting Descriptions: The employee’s description of the accident conflicts with the medical history or First Report of Injury.

History of Claims: The claimant has a history of numerous suspicious or litigated claims.

Treatment is Refused: The claimant refuses a diagnostic procedure to confirm the nature or extent of an injury.

Late Reporting: The employee delays reporting the claim without a reasonable explanation.

Hard to Reach: You have difficulty contacting a claimant at home, when he/she is allegedly disabled.

Moonlighting: Does the employee have another paying job or do volunteer work?

Unusual Coincidence: There is an unusual coincidence between the employee’s alleged date of injury and his/her need for personal time off.

Financial Problems: The employee has tried to borrow money from co-workers or the company, or requested pay advances.

Hobbies: The employee has a hobby that could cause an injury similar to the alleged work injury.

Suspicious about a claim possibly being an example of workers’ compensation fraud? Don’t hesitate to call us at (914) 357-8444 or CLICK HERE and run your challenge through one of our Risk Advisors. Our staff will perform digital surveillance on your case without having to spend big money on a potential stakeout.