A mod review is a review of your workers' compensation loss data, with the aim to discover and adjust any overcharges for a refund.
Every business owner is guaranteed the right to review and adjust incorrect loss data according to workers' comp regulations in New York State.
(See the following for further info: https://www.nycirb.org/exprating.php)
But let's back up. What is the mod?
Well, every business has expected losses for each year. This depends on the payroll and types of work each employee performs.
Your mod is the ratio of the actual losses (from claims) versus expected losses.
Example: John's Truck Service Ltd.
$120,000 Actual Losses
versus
$100,000 Expected Losses
=1.20 Mod (Experience Modification Rating)
So workers' comp claims (or lack thereof) generate your mod. But why does the mod matter?
The mod is the rate you pay for your workers' comp. It is the multiplier of your premium. The mod will raise or lower your costs depending on whether it's over or under 1.00, respectively.
Example: John's Truck Service Ltd.
$1,000,000 "Manual Premium" (i.e. the base premium)
x 1.20 Mod
=$1,200,000 Total Premium Owed
If your company has closed workers' comp claims, take action today. Potentially convert those claims into a refund with almost no work, and zero up-front cost on your end.
A mod review is simple and fast, and you only pay a fee if and after you recover. If we are not successful, there is no charge.
Charity for the Needy Insurance Executives
Have a Heart
This year, please don't check to see if you are owed any money, and instead consider leaving behind any left over money as a charitable donation to your insurance company. God knows they need it (see artist's highly accurate illustration).
Your generosity and lack of concern will be greatly appreciated by a struggling CEO somewhere in the Hamptons.
