Develop a safety program: Protect your business and employees
Many businesses are missing out on easy, effective ways to save money while protecting their employees. Your business could be one of them.
“Developing a safety program is an inexpensive and easy way to keep insurance premiums low and protect the business’s most important assets – their employees,” said Rich Kalina, senior vice president of commercial lines at General Casualty and Southern Guaranty Insurance Companies. “The program’s main objective is to uncover potential hazards and develop preventative safety solutions, thus minimizing company losses.”
Procedures for implementing a safety program vary depending on the type of business. While commercial insurance carriers can help tailor the safety program to meet individual business’s needs, there are several safety basics that every business owner should keep in mind.
“General Casualty and Southern Guaranty have helped numerous commercial policyholders develop or update safety programs,” said Kalina. “There are simple steps company leadership can take to ensure the safety of its works.” To implement a safety program, Kalina recommends businesses:
- Communicate corporate commitment and define the program: Communication from the CEO will help employees realize the importance of the safety program. A policy statement and announcement telling employees about the program are most effective. Be sure to explain the program’s objectives and how it works.
- Appoint a safety committee: Comprised of a cross-section of employees, this group helps develop solutions for safety issues that may arise, maintain employee interest, monitor the program and identify needed safety training.
- Perform property inspection: This is often done by the insurance carrier and includes inspection of key business-specific safety measures. Some examples include: lighting, electrical prevention audit, machine guarding, air and noise sampling, office ergonomics, and personal protective equipment. Another important element is a job hazard analysis. This identifies risk factors and can be used to redesign processes to ensure employees are safe. Inspections can also be performed by the safety committee to ensure safety standards are upheld.
- Develop safety procedures: Plans for fire emergencies, evacuations and severe weather, in addition to procedures unique to individual businesses, should be implemented and tested regularly.
- Build accident investigation process: Learning from previous accidents can help prevent future incidents.
- Establish a transitional return-to-work program: Help employees return to work in a safe and timely manner after an injury or illness by providing temporary, modified jobs that take into account their physical limitations. (Editor’s note: See below for additional information about transitional return to work programs and how they can help companies.)
Developing a safety program doesn’t have to require heavy capital or labor investment, if a company has solid existing procedures in place. Many programs can be built using free resources from insurance companies and other state or federal agencies, such as OSHA (osha.gov). The long-term benefit and company savings far outweigh the initial costs incurred.
“There are many payoffs to establishing a safety program,” said Kalina. “It can lower insurance premiums and make it easier for a company to find coverage. An effective safety program helps stabilize the workforce and reduce employee turnover and absenteeism. It can also help decrease workers’ compensation expenses that often aren’t covered by insurance, such as additional supervisor and coworkers’ time, property damages and wasted materials.”
Businesses interested in decreasing insurance bills and implementing a safety program should contact their commercial insurance carrier or an independent insurance agent.
Cut down on workers comp expenses, employee turnover with a transitional return-to-work program
Transitional return-to-work (TRTW) programs can help businesses reduce workers’ comp costs by returning employees to work in a safe and timely manner after an injury or illness.
The programs provide temporary, modified jobs that take into account the injured employee’s physical limitations. Modified duties should include meaningful responsibilities, like answering customer calls or taking inventory. If companies don’t have suitable transitional duties, TRTW employees can also perform light-duty volunteer work at non-profit organizations.
Businesses can expect to save $3-10 for every dollar invested in TRTW programs, according to the Washington Business Group on Health. In addition, injured employees feel better about themselves and heal more quickly, and businesses improve productivity and employee morale and reduce the potential for litigation.
Employees who are away from work more than 12 weeks are 50 percent more likely not to ever return. Investing in a TRTW program will save a business both money and employees. Contact your commercial insurance carrier or independent insurance agent for more information on setting up a program today.
For more information please contact Anne M. Smith.