How to Keep from Hiring a Serial Workers’ Comp Filer

| posted in Blog, Newsletter

As employers have found in the last few years, hiring has become more difficult as the labor market has tightened amid a strong economy. With slim pickings, many firms are having to settle for workers they may not normally hire – but that can lead to issues like higher turnover and workers’ comp fraud. Some employers even have a hard time finding candidates that don’t have substance abuse issues, while some people are serial workers’ comp filers, malingerers or have prior industrial injuries that can end up affecting your bottom line and X-Mod. Here are some suggestions for helping you…
Read More

Protecting Yourself after the Equifax Data Breach

| posted in Blog

At the end of July, data thieves successfully penetrated computer systems at Equifax, one of the three major credit bureaus, and potentially stole personal credit information on as many as 143 million U.S. customers. Compromised data includes Social Security numbers, birth dates, addresses and driver’s license numbers. The thieves are also believed to have stolen credit card numbers on roughly 209,000 Americans, and some charge-dispute data, including personally identifying documents on about 182,000 U.S. residents. They may have stolen information on consumers in Canada and the U.K., as well. This data breach, which may affect as many as two out…
Read More

Workers’ Comp Referral Ring Busted: How You Can Keep Your Employees from Being Ensnared

| posted in Blog, Newsletter

One of the hidden cost drivers in workers’ comp is fraud and while many employers feel that fraud by “injured workers” is the biggest problem, there are also vendors in the system that do their part to skim money from employers and insurers. Most recently, law enforcement in California busted a fraud ring that required attorneys to pay a monthly referral fee to a company that brought the lawyers new clients and then used the same company for a number of services that were later billed to insurance companies. Prosecutors estimate that the ring encompassed 33,000 injured workers and netted…
Read More

Identifying Problem Workers’ Comp Claims, Fraud with Predictive Modeling

| posted in Blog

With decades of information in their databases, many insurers have started using those statistics to their advantage to intervene earlier in problem claims and to identify potential fraud. With years of data to rely on, insurers have identified certain triggers that can indicate that a claim may require additional intervention and more hands-on management. The predictive modeling program will alert a claims adjuster when it identifies certain parameters or events. This early identification of problem claims is helping employers and insurers achieve better outcomes for injured workers, as well as save money and time. As the trend continues, it should…
Read More

How to Avoid Inheriting an Old Workers’ Comp Claim

| posted in Blog

One of the biggest shocks for an employer is to find out that a workplace incident aggravated a pre-existing injury that was sustained at one of the worker’s prior employers. Some people are serial workers’ comp claimants who may or may not be involved in filing fraudulent claims or malingering (stretching an injury claim out long after they can return to work). And some people, who have been injured at work while employed elsewhere, can re-injure that same injury, forcing your workers’ comp coverage to pay for an injury that may not have been sustained by someone who had not…
Read More

Many Small Businesses Can’t ID Workers’ Comp Fraud

| posted in Blog

Fraud eats away at workers’ comp costs for all businesses, but it hits small businesses the hardest as they may not have the resources to identify bogus claims. According to a new study by workers’ comp insurer Employers Holdings Inc., about 20% of small-business owners are not sufficiently prepared to identify workers’ compensation fraud. It’s estimated that at least 10% of claims are fraudulent, so identifying those illicit claims would keep your workers’ comp claims in check and reduce your workers’ comp premiums. Claims fraud happens when an employee tries to gain workers’ comp benefits by falsely stating that an…
Read More