How Does a Workers’ Comp Claim Affect Your Premium in Florida?

As an employer, it is important to have Workers’ Compensation insurance in case of a workplace accident. But what happens to your premiums if an accident occurs and an employee files a claim in Florida?

Previous Workers’ Compensation insurance claims might result in higher premiums for companies in Florida. Several employee claims filed in a short period of time might lead to increased premiums for employers. Generally, this is determined during a Workers’ Compensation insurance audit, which is an annual assessment of a company’s risk factors and premiums. To better prepare for these potential increases, employers can partner with our brokers for reliable, affordable coverage from the beginning. If your insurance becomes too expensive after a claim, turn to our brokers to find a less expensive Workers’ Compensation insurance policy in Florida.

Our brokers are here to help companies get the necessary Workers’ Compensation insurance to protect themselves and their employees. To learn more about the Florida Workers’ Compensation insurance brokers at NPN Brokers, call today at (561) 990-3022.

How Do Past Workers’ Comp Claims Affect Insurance Premiums in Florida?

When insurance carriers provide Workers’ Compensation coverage to companies in Florida, they charge a rate. These rates are known as Workers’ Compensation insurance premiums, which can fluctuate based on changes to a company’s risk factors. If one of your workers was injured in a workplace accident in the past, that might impact your ability to find affordable Workers’ Compensation insurance premiums in Florida.

When pricing Workers’ Compensation insurance in Florida, carriers tend to evaluate several factors. One of those factors is a company’s history of workplace accidents and employee claims. Multiple previous claims might indicate an increased risk to some carriers, resulting in higher premiums.

While searching for Workers’ Compensation insurance in Florida, employers might be unsure which premium quotes are appropriate and which aren’t, based on their company’s history of employee claims and other risk factors. Our Florida Workers’ Compensation insurance brokers can help you identify unfairly priced premiums so that you don’t pay too much for protection despite your history.

How Might New Workers’ Comp Claims in Florida Affect Insurance Premiums?

Suppose you already have Workers’ Compensation insurance in Florida and are comfortable with the current cost of coverage. If one of your employees is injured in a workplace accident and files a claim, your company’s Workers’ Compensation insurance premiums might rise.

Workers’ Compensation insurance works by employers paying premiums to carriers so that carriers can then pay employees if they are injured on the job and file a valid claim. This is an agreement between the insured and the insurer based on anticipated risks and other factors. One Workers’ Compensation insurance claim filed by an employee shouldn’t impact your premiums too severely. However, a few claims in a year or many over time might result in increased Workers’ Compensation insurance premiums, depending on your carrier.

This presents an issue for employers, especially those in high-risk industries. Companies in industries, like construction and manufacturing, are more vulnerable to workplace accidents despite employers providing a safe working environment for employees. Unfortunately, if several employees file claims in quick cessation, your carrier might hike your company’s premiums. Should that happen, speak with our Florida Workers’ Compensation insurance brokers to find a plan with lower premiums from the get-go.

When Might Premiums Rise After Employees File Workers’ Comp Claims in Florida?

Typically, Workers’ Compensation insurance premiums are reevaluated during an annual audit. During this time, an insurance carrier might reassess your company’s risk factors to determine a new policy price for the coming year.

Many insurance carriers require annual or biannual audits. During a Workers’ Compensation insurance audit, the previous year will be assessed. This generally includes looking at last year’s filed claims, workplace accident frequency, and payroll changes. After an audit, an insurance carrier might decide to lower, increase, or keep premiums the same in Florida.

Depending on your insurance carrier, you might be unable to avoid a Workers’ Compensation insurance audit. Fortunately, our Florida Workers’ Compensation insurance brokers have relationships with carriers that do not require audits. This might mean that you can have an answer regarding potential premium changes more immediately after a claim is filed, allowing you to decide whether or not you’d like to keep a current policy with a Workers’ Compensation insurance carrier in Florida.

What if Premiums Become Too Expensive Because of Workers’ Comp Claims in Florida

The fact of the matter is employee claims from workplace accidents often indicate elevated risk to Workers’ Compensation insurance carriers. If a carrier has to compensate an injured employee, it might want you to supplement the cost via increased premiums. In some cases, workplace accidents are unavoidable. To prevent your coverage from becoming too expensive, partner with our Florida Workers’ Compensation insurance brokers.

Workplace accidents might happen at any time, despite employers maintaining safe working environments in Florida. If your employee files a claim with your Workers’ Compensation insurance, and your carrier responds by increasing premiums, coverage might become too expensive. In many cases, the solution to this issue is choosing more affordable insurance.

Our brokers can find your company affordable, flexible coverage with transparent premiums. Pay-as-you-go Workers’ Compensation insurance can result in less expensive policies for employers in Florida, basing premiums on current payroll numbers and information instead of annual estimates. This allows companies to budget better and prepare for slight increases in premiums after an employee files a Workers’ Compensation claim.

If your insurance becomes too expensive after an accident, contact our brokers. Though it can be difficult for employers to find affordable coverage with a history of Workers’ Compensation claims, our brokers can make the process easier and more successful for companies in Florida.

Call Our Brokers to Get Workers’ Compensation Insurance in Florida

If you need new Workers’ Compensation insurance in Florida, our brokers can help. To learn more about the Florida Workers’ Compensation insurance brokers at NPN Brokers, call today at (561) 990-3022.