UW WORKERS COMPENSATION

CLAIMS: FIVE YEAR CLAIM

HISTORY 1/1/06 – 12/31/10

University of Washington Office of Risk Management

Claims Services Program May 2011

L&I Insurance Premium 101

• UW Premium for 2010 was $16,168,118. Of this: – UW paid $11,091,384

– Employees paid $5,076,734

• Paid within the “Payroll Load Rate” – no allocation to departments

• Premium is paid quarterly, based on payroll hours times complex rates (set annually)

• L&I Rates include – Experience Factor (.958)

– Accident Fund Rate (.130)

– Medical Aid Fund Rate (.073)

– Supplemental Pension (.303)

• Experience Factor – We can influence!

– Based on 3 years of claim $ (paid and reserves)

– Each claim costs us for 3 years

– Time Loss is biggest driver

– The KEY is controlling time loss through light duty and early return to work.

L&I Insurance Information

53,695,718 54,192,258

55,585,497

56,306,994 56,901,368

2006 2007 2008 2009 2010

Payroll Hours

0.78 0.86

0.98 1.01 0.958

2006 2007 2008 2009 2010

UW'S Experience Factor

ExperienceFactor (forfollowingyear)

$10,537,828

$9,290,553

$9,290,553* *L&I gave 3

mo rate holiday

$14,440,454

$16,168,118

2006 2007 2008 2009 2010

Annual Premium

Central Washington University 1.1817

Eastern Washington University 1.1261

Evergreen State College 1.0883

University of Washington 0.9584

Washington State University 0.9432

Western Washington University 0.8554

Experience Factors for 2011: Higher Ed

Department of Labor & Industries 1.4344

Department of Licensing 1.4137

Department of Social & Health Services 1.0593

Department of Corrections .9744

Washington State Lottery .7447

Department of Transportation .7294

Department of Natural Resources .6847

Experience Factors for 2011: Other State

Agencies

Claim Rates: State Fund v UW

3.9 3.7

3.3 3.3 3.1

1

2

3

4

5

2006 2007 2008 2009 2010

UW Claim Rate per 100 FTE's

10.5

9.9

9.2

8.4

8

7

8

9

10

11

2006 2007 2008 2009 2010

State Fund Claim Rate per 100 FTE’s

UW Claim Frequency (claims received in last 5 years, open and closed)

1

219 233 185

206 199

846 786 738 730 694

1065 1020 923 936 893

0

200

400

600

800

1000

1200

2006 2007 2008 2009 2010

FA

LT

MO

Total

UW-Wide WC Claims Received

% Lost Time % Med Only

2006 21% 79%

2007 23% 77%

2008 20% 80%

2009 21% 79%

2010 23% 77%

5 year total 20% 80%

UW Claims Frequency by Division (claims received in last 5 years, open and closed)

Division Fatalities Lost Time

Claims Medical-Only

Claims Total # of Claims % of Total of UW

Harborview 387 1045 1432 30%

UWMC 226 841 1067 22%

Facilities 220 472 692 14% School of Medicine 34 365 399 8%

Student Life 56 197 249 5%

Health Sciences 17 218 235 5%

Arts & Sciences 8 130 138 3%

Oceanography 15 41 56 1% Financial Management 4 51 55 1%

Engineering 7 47 49 1%

All Other 1 68 387 465 10%

TOTAL UW 1 1042 3794 4837 100%

Division # TL Days % of total % of EE's

(per OSHA Reports)

Harborview 21,839 38% 14%

Facilities 11,754 21% 3% UWMC 11,359 20% 13%

Student Life 3,060 5% 3% Health Sciences 2,327 4%

Financial Management 1,792 3% UW Relations 1,291 2%

School of Medicine 615 1% Engineering 393 1%

Oceanography 274 0%

All Other 2,167 4% Total UW 56,871 100%

Time Loss Days by Division (closed claims 1/1/06 – 12/31/10)

Average Time

Lost Days

Division

Avg # of TL days per TL

claim

HMC 68

Facilities 65

UWMC 59

All Other 59

Student Life 54

UW Wide 64

Time Loss Days: Five Year Trend (days out on open and closed claims each calendar year)

22,194

32,835 32,618

30,471

34,130

10,000

15,000

20,000

25,000

30,000

35,000

40,000

2006 2007 2008 2009 2010

Time Loss Days: UW

Time Loss $ Paid by Division (closed claims 1-1-06 – 12-31-10)

Average Time Loss

$ Paid

TL paid % of Total % of EEs

(per OSHA reports)

Harborview $2,148,039 41% 14%

UWMC $1,117,085 22% 13%

Facilities $994,347 19% 3%

Financial Management $205,907 4% 3%

Student Life $173,730 3%

Health Sciences $141,839 3%

Tacoma $98,469 2%

School of Medicine $87,283 2%

Intercollegiate Athletics $75,455 1%

UW Technology $17,817 0%

All Other $123,326 2%

Total $5,183,298 100%

Division Avg # of TL $ per TL claim

UWMC $14,322

HMC $7,511

Facilities $5,289

Student Life $3,048

All UW $5,877

Time Loss Dollars Five Year Trend (Time Loss paid on open and closed claims each calendar year)

$1,542,663

$2,378,753

$2,455,121

$2,315,426 $2,569,632

$0

$500,000

$1,000,000

$1,500,000

$2,000,000

$2,500,000

$3,000,000

2006 2007 2008 2009 2010

Time Loss Paid: UW

Position Code/Description

# of MO claims

# of TL claims TL Days TL $ % of total

Registered Nurses 549 172 8,511 $1,290,878 25%

Custodian 318 137 9,903 $592,397 11%

Security Officer 100 20 2,211 $263,708 5%

Hospital Assistant 148 52 3,902 $235,359 5%

Plumber/Pipe/Steamfitter 24 23 1,542 $181,589 4%

Medical Assistant 90 39 2,361 $180,962 3%

Animal Technician 118 12 2,147 $124,551 2%

Truck Driver 26 10 1,230 $89,742 2%

Food Services 137 37 2,067 $115,896 2%

Painter 14 13 1,031 $102,014 2%

Other 2,130 367 21,966 2,006,202 39%

TOTAL 3,654 882 56,871 $5,183,298

Claims by Position (closed claims 1/1/06 – 12/31/10, ranked by TL $ Paid)

Body Part # of MO claims

# of TL claims TL Days TL $ % of total

BACK 510 300 17172 $1,627,872 31%

KNEE 183 85 7253 $666,583 13%

SHOULDER 184 71 8941 $654,663 13%

WRIST 172 53 5398 $545,258 11%

HAND 290 43 2726 $194,303 4%

FOOT 88 25 1341 $175,241 3%

NECK 103 24 1809 $160,564 3%

ELBOW 99 22 1504 $159,026 3%

MULTIPLE BODY PARTS 60 20 2028 $143,490 3%

HEAD 166 18 1114 $138,299 3%

Other 1,800 223 7,585 718,000 14%

Total 3,655 884 56,871 5,183,298

Claims by Body Part (closed claims 1/1/06 – 12/31/10, ranked by TL $ Paid)

UW Claims by Injury Type ( closed claims 1/1/06 – 12/31/10, ranked by TL $ Paid)

Injury Type # of MO claims

# of TL claims Time Loss Days Time Loss Paid

% of Total TL Paid

SPRAIN/STRAIN 936 413 33,464 $2,989,337 58%

FRACTURE 81 64 4,206 $382,360 7%

BRUISE/CONTUSION 346 52 1,728 $285,955 6%

SLIP AND FALL 118 44 3,158 $249,191 5%

PAIN 343 96 2,961 $226,533 4%

SWELLING/INFLAMMATION 100 31 2,652 $172,107 3%

REPETITIVE TRAUMA 36 14 1,758 $150,706 3%

SOFT TISSUE INJURY 42 15 839 $120,966 2%

EPICONDYLITIS 24 10 633 $119,077 2%

HERNIA 5 13 1,450 $91,348 2%

OTHER 1635 133 4,046 $398,470 8%

TOTAL 3666 885 56,895 $5,186,050

Safety is Job #1!

• Avoiding worker injuries protects our employees, reduces insurance costs, increases UW productivity, and demonstrates concern for our employees.

• Partnership with EH&S and Employee Health on data and safety issues

– Sharing of Workers Comp data real-time

• To ensure incident reports are complete

• To ensure OSHA reporting is accurate

• To share trends on safety issues

– Triage discussions on unusual or severe incidents so UW responds appropriately and as a team

– Initiatives to address trends – ie, ergonomics, lifting, etc

Key to Controlling Costs: Return-to-Work

• Benefits to UW – Lower L&I premium

– Allows retention of employee’s skill and experience

– Keeps productivity loss to a minimum

– Reduces costs of training new employee or temps

– Creates opportunity to complete work usually left undone

– May reduce risk of re-injury

• Benefits to the Injured Worker: – Keeps the employee active

and speeds medical recovery

– Shifts focus from “dis-ability” to ability

– May reduce the risk of re-injury

– Provides a sense of job security

– Allows employee to maintain contact with co-workers

– Shows you value your employee and his/her contributions to UW

Source: "Employer's Return-To-Work Guide", WA Department of Labor and Industries, Workers' Compensation Services

UW’s Return to Work Program

• Risk Management serves as UW’s

required return-to-work

coordinators (RCW 41.06.490)

• Requires strong teamwork with

L&I, HR, Supervisor/Department,

Physician

• Focus is on early, supportive

communication with injured

worker on opportunities to stay

at work within restrictions

• Return to Work Options

– Modify current work

– Part time work

– Alternative work (temporary)

– Alternative work (permanent)

• Light duty job descriptions should

be developed and readily available

for positions with claim frequency

• “We don’t have light duty” is

rarely acceptable

LEAN Project

• Team formed December 2010

• Key work to be completed by 6/1 with follow up in certain areas

• Goals: – Process Mapping to ID key

coordination points with process partner

– Clarify the claims/return to work process

– Reduce Time Loss Days

– Reduce Time Loss Dollars

• Deliverables Include: – Roles checklists for key

players in process

– Improved notification and communication processes

– Streamline of data/info required in process

– Expansion of light duty Job Analyses

– Escalation of dialogue about staying at work/return to work

LEAN Metrics

$198,200

$183,868

$240,718 $248,303

$183,494 $203,515

$194,551

$197,595

$247,191

$228,624 $211,892 $212,029

$159,795

$100,000

$200,000

$300,000

Time Loss Paid: UW Wide

2347 2144

2948 3287

2228 2418

2581

2261

2924

2686 2478 2447

1988

1500

2500

3500

Time Loss Days: UW Wide

Contact Us: Claims Services Program

Office of Risk Management

• Shari Spung, Director, Claims Services Program

(sspung@uw.edu, 206 616 3455)

• Wendy Winslow-Nason, Sr. Claims Specialist

(wendywn@uw.edu, 206 616 7510)

• Elena Williams, Claims Specialist

(elenaw2@uw.edu, 206 616 3329)

• Linda Chihara, Program Coordinator

(lchihara@uw.edu, 206 543 0183)

• Felicia Carnes, Program Coordinator

(fml@uw.edu, 206 543 3657)