| |
Volume
1
No.06
07-15-2003
http://siennastaffing.com |
|
|
inside:
|
| |
|
|
| |
| |
|
Editor's Two Cents |
|
|
|

|
When we hear of kidnapping cases in the news, or a woman letting
a man die on her windshield; it’s easy to shout “where
is the humanity” when the offense is surreal. We scream our
indignation at rapists, abusers, even murderers because we are rational
people who know injustice when we see it and will rightly take a
stand against these actions. But how many of our voices will even
rise above a whimper at the small inhumanities we see each day in
our working life.
I was talking to a medical manager who described the callousness
of an adjuster toward a claimant and I began to think of how many
stories of people in our industry who have displayed a poisonous
attitude, even to legendary proportions, towards others just because
they could. Dumping is destructive, and like persistence droplets
against a rock, it erodes confidence in our abilities until there
is nothing but anger and resentment and in extreme cases retaliation
against the oppressor.
We don’t have to control to be respected, and there must
be something better than the big dog theory? I admit that someone
has to be in charge, to ensure that benefits are administered, companies
are run, even justice is decided, but power, is a tool, not a stick
to beat anyone in reach. When small inhumanities begin to rise,
let’s remember our actions have consequences to others as
well as ourselves.
| |
Letters to Sounding Board
Readers are encouraged to submit letters to our editors
on any topic or issue covered in Adjusting World. Email
them to soundingboard@adjustingworld.com.
Adjusting World reserves the right to edit letters for publication.
|
| |
|

|
|
| |
|
|
| |
|
 |
| |
|
The National Council on Compensation Insurance (NCCI) is a not-for-profit
rating, statistical and data management services organization. They are
funded by a variety of insurance organizations and companies to act as
a central source of data on workers compensation. Part of their responsibility
is the calculation of experience modification data. However in the State
of California, the Workers’ Compensation Insurance Rating Bureau
(WCIRB) produces experience mods for California employers
What is the experience mod
The mod is a formula involving an actuarially based method of determining
if a specific risk’s loss experience is better than expected or
worse than expected. The formula compares the losses that actually occurred
to the losses that were expected. The period used for comparison is referred
to as the experience rating period – it generally consists of three
policy periods excluding the most recently completed period. A unity mod
(1.00) indicates an average risk. A mod greater than 1.00 indicates a
risk with greater than expected loss experience. A mod less than 1.00
indicates a risk with better than expected loss experience
Understanding the Formula
While the actual formula for computing the experience mod is more than
most insurance and risk management professionals want to know, understanding
the basics of what the mod consists of, and how claims affect the mod
are very important. There are two elements to the mod formula, one the
primary losses which are the first $5,000 of any loss and the second is
the excess losses which are all loss amounts, average loss rate, and the
amount of payroll by payroll class code. The total amount of primary losses
is a measure of frequency. Excess losses are a measure of loss severity.
Because frequency represents greater risk than severity, the primary losses
are not weighted and impact the mod much more significantly than excess
losses. The formula attempts to accommodate for the size of the risk by
utilizing a weighted value in the formula. The weight is increased with
the expected losses of the risk. However, it increases at a rate slower
than the expected losses. Therefore, there is a dampening effect of the
weighted value, which decreases for larger risks. Simply put, the larger
the risk, the more weight is placed on the actual excess loss experience.
It is interesting to note that no weighting value is applied to the primary
losses.
What components drive the mod formula
Understanding the components that drive the workers comp mod is critical
in many industries, particularly the construction industry where certain
targeted experience mods may prevent contractors from bidding or received
jobs. Here are a few examples: ?In some cases, a $500 small loss may result
in higher premium dollars due to a higher mod. Ten $1,000 losses may increase
a mod much more than one $10,000 loss. And lastly a $200,000 loss and
a $1,000,000 have the same impact on a mod. Another component of the mod
formula involves payroll classifications These classification are based
on an allocation of payroll and the proper classification of jobs.
Methods for controlling the mod
There may be a number of creative ideas to reduce the experience mod
for California employers however two main areas are critical: Pre-loss
and Post-loss control measures. For pre-loss, employers have and do focus
attention and resources to eliminating the losses from incurring. Pre-loss
or as more commonly referred to as loss control may involve several measures
to identify potential areas of risk and loss and developing measures to
keep the losses from occurring. These can range from ergonomic training
and proper workstations to driver safety. Employers who analyze exposures
to loss and pro-actively address these areas in a continuous manner can
play a significant role in mitigating or maintaining a solid experience
rating.
For post-loss, the communication between the employer and claims department
which may involve an insurance carrier or third party administrator is
vital to proper investigation and acceptance of claims, careful valuation
of the reserves, consistent claim management, and aggressive claim handling
directed towards administration of the benefits and closure of cases.
Summary
While avoiding all claim losses may not be possible in an attempt to
keep or maintain an acceptable experience mod, understanding the process
as to how the mod is calculated and what areas can affect an increase
or decrease in the mod can provide California employers additional tools
in keeping their insurance premiums at the lowest possible levels. Developing
and maintaining sound pre-loss and post-loss programs as an effective
measure to help control the experience mod is a vital and important first
step in keeping the pace of increasing premiums in check.
Sources
Sigma Circle Solutions-Understanding the Workers Compensation Modification
Factor. www.companynurse.com
California Workers’ Compensation Insurance Rating Bureau. www.wcirbonline.org

|
| |
|
|
| |
| |
|
|
| |
|
 |
| |
By William Nathans
Senior Claims Examiner
Athens Administrators
An open letter to all claims professionals.
As you are all aware of by now the legislature and the insurance
commissioner are trying to “fix” the workers’
compensation system that is on the brink of collapse.
The 60 proposals currently working their way through the legislature
is like trying to patch an aorta with a band aid, it won’t
fix anything, just make our jobs more difficult.
We have all heard the horror stories coming from injured workers
and their attorneys about the egregious acts of the insurance companies
and adjusters. It is time we answered back. We need to let the legislature
know about the reality of claims handling. We need to tell them
about the over treatment of injuries. We need to show them how workers’
compensation medicine bears no resemblance to real world medicine.
We need to advise the mentality of the injured worker is that the
system is not a benefit but viewed as an entitlement.
We can no longer stand by quietly while the legislature enacts
legislation about a subject they know nothing about. They have no
any idea of the impact their proposals will have in the long term.
It is time for claims professionals to speak up to defend our job
and profession. We need to be actively involved in the repair of
this system. I for one take pride in my career and want to be a
part of the solution.
Attached to this article is letter/petition I wrote to be forwarded
to members of both the Assembly and Senate insurance committees
as well as the Insurance Commissioner. I am sending it to demand
that we have input in the reshaping of the workers’ compensation
system via a task force of claims professionals to advise the legislators
on the reality of the system.
We need to go to Sacramento to make our feelings known. We need
to explain in person the reality of the system that they have created.
Cut and past the letter, then hit the link to send it to:
Contact:
William Nathans
bill@adjustingworld.com
| |
Letter to the Insurance Commissioner
and the Legislature:
As a workers’ compensation claims
professional I would like to voice my concerns about the
present workers’ compensation system in California.
I am writing because we are the one group left out of any
meaningful discussions regarding the reform of this system,
yet we are the best informed because we implement it everyday.
There are currently 60 bills before
the Legislature attempting to reform the workers’
compensation system. Unfortunately, these bills only treat
the symptoms; they do nothing for the real problems. With
all due respect, none of you have the working knowledge
of how the system operates because you do not talk to the
people who are responsible for its administration. Not attorneys
or doctors but claims professionals who understand first
hand the impact your laws make on the lives of our claimants
and the system we try to implement.
One example, where the system needs to be changed, is the
workers’ compensation school of medicine. Workers’
compensation was originally designed to pay for medical
treatment that is reasonably necessary to cure or relieve
the effects of the industrial injury, but this is no longer
the case. Payments are made for “compensable consequences”
that only occur in workers’ compensation. This is
a system where a 64% permanent disability rating is awarded
by a judge even in the absence of any objective findings
because the employee told the doctor he had this incredible
amount of pain. The current form of permanent disability
rating needs to be abolished. California is among a minority
of states that do not use the AMA guidelines for rating
permanent disability which the based on the whole person.
Meaningful reform will only come about when the very basic
nature of the system changes. Doctors have to be rewarded
for curing patients, not for making them more disabled.
Employees need to understand that workers’ compensation
is a benefit not an entitlement.
I would like to invite you to come
to a third party administrator or workers’ compensation
claims office and see how the system really operates or
sit in at an appeals board hearing to see the losing battle
that employers are fighting.
Better yet, create a task force or
an advisory committee from claims personnel, with current
hands on knowledge of workers’ compensation law. Leverage
the knowledge of a group that has the clearest picture of
where reform needs to be applied in the workers’
compensation system.
Name:
Title:
Company:
Phone:
|
| |

|
| |
|
| |
|
|
| |
|
POLL: What do you think?
Under the current law, how many indemnity files do you think a workers'
compensation examiner can handle without an assistant?
VOTE NOW |
| |
|
|
| |
|
|
| |
Joan Lloyd is a management
consultant, executive coach, workshop trainer and professional speaker.
www.JoanLloyd.com,
(800) 348-1944.
You hate your job. No, not just occasionally, but all the time.
See if any of the following behaviors fit you:
- You have The Sunday Blues.
- You can’t sleep Sunday night.
- You find faults in people around you... Read
the entire article

|
|
| |
|
|
|
|
|
|
| |
|
How does computer based training compare to a live instructor?
How one can improve training and improve learning as much as possible?
I have a long-standing interest in training and am currently exploring
the latest research on these questions for my thesis. In addition,
I'm developing some computer-based training tools to supplement
the instructor-based training I do.
Little did I know, before I began to research this topic, that
there are more learning theories than pointing devices! Some of
them are very complicated and I don't know how pertinent they are
to the real world. The two most interesting and relevant studies
to you as managers are long and very detailed. I will attempt to
decipher only the most salient parts for you.
Computer-based training can be cost effective for companies. Research
suggests that computer-based training generally reduces learning
time by one third. Since time is money, this can be a substantial
benefit. It also eliminates or decreases the costs associated with
trainers. Intranet, Internet, email-based programs, and computer
CD ROMs are all used in place of a live instructor.
In addition, computer-based training increases learner control.
This sounds good in theory, since it makes it makes it easier to
schedule time to do the training. Unfortunately, the research shows
that employees working on their own without an instructor may choose
to not finish computer-based training and may not spend adequate
amounts of time with it. Age is also sometimes a factor in the efficacy
of computer-based learning. Research has shown that older employees
generally have less interests in and worse attitudes towards computers.
The first study I looked at used computer-based training without
any instructor to teach a standardized problem-solving process.
It looked extensively at individual differences, with the purpose
of determining which employees are able to learn from computer-
based training that allows for a high level of learner control.
The other study compared "Adaptive Guidance" (which has
an instructor give immediate feedback, as well as recommend sequencing
and specific tasks for the individual to focus on); to feedback
only ("Advisement") to evaluate which one will enhance
computer-based learning. This study used a complex radar tracking
simulation that required subjects to track targets. Overall, they
found that adaptive guidance had a substantial effect on the nature
of the trainees' study and practice, self-regulation, and performance
and increased learning more than feedback ("advisement")
alone. Both studies emphasized that the two most important principles
associated with learning are 1) practice and 2) time on task. Both
looked at the effects of self-efficacy (the confidence learners
have that they can learn the content of the course), as well as
the learning choices people make (e.g., length of time on task).
The researchers found that:
- Learners increased their knowledge with computer-based training.
- People with low self-efficacy practiced less then those with
high levels of self-efficacy.
- Age, education and computer experience were not strongly associated
with learners' choices.
- Adaptive guidance increased time spent on study by 25% and lead
to greater learning than feedback ("advisement") alone.
As you develop trainings, look for ways to get learners to practice
and study more. Having follow-up meetings to assess progress may
be helpful. Consider the principles of adaptive guidance and use
trainers in conjunction with computer-based training to guide employees
towards the areas they are weakest on. You may want to evaluate
your employees for individual differences, but based on these studies
results, that appears to be a difficult thing to do.
Have a safe day,
Deidre Rogers, RN, CAE
Research: Computer Based Training |
| A large American study
(Bell & Kozlowski) compared adaptive guidance, which utilizes
feedback and recommends sequencing and specific tasks for
individuals, to feedback alone (advisement). This study used
277 college students and utilized a radar-tracking simulation.
The researchers used multiple choice questions and only tested
the students at the end of the training (i.e., there was not
retention testing done later). They looked at the effects
of adaptive guidance on self-efficacy and were surprised to
find that adaptive guidance only increased self-efficacy early
on; it decreased later during the training trials. They hypothesized
that by providing evaluative information about performance,
adaptive guidance kept trainees from becoming overconfident
in their skills and abilities later in training. Individuals
who received adaptive guidance displayed higher levels of
basic and strategic knowledge and were better able to transfer
their skills to a more complex generalization trial.
Another American study (Brown) evaluated how individual differences
affect learning when computer-based training is utilized.
The study was performed at a Fortune 500 manufacturing firm
and consisted of 78 technical employees. The training was
strictly computer based (i.e., no live instructor) and the
course material included quizzes with multiple choice and
short answer questions. Extensive individual characteristics
were measured to determine the employees' level of goal orientation.
Goal orientation is a theory that describes differences among
learners regarding: 1) Task difficulty 2) Reasons for engaging
in learning and 3) Beliefs regarding causes of success. It
positions people into two main categories - ""high
mastery-oriented" individuals and "high performance-oriented"
individuals. People who fall into the first group believe
they can improve their abilities and show increased persistence
in the face of difficulty. High performance-oriented individuals
believe their abilities are fixed and focus on demonstrating
competence. The researcher found an unexpected negative relationship
with practice level and post-test knowledge in the high mastery
group.
The researcher looked at high and low self-efficacy traits
in individuals and found that (as expected) individuals with
low efficacy had shorter practice time than individuals with
high levels of self-efficacy. They were surprised to find
that age, education, and computer experience were not strongly
associated with learner choices. They concluded that individual
differences did not predict practice and time on task effectively.
References
Bell, B., & Kozlowski, S. (2002). Adaptive guidance:
enhancing self-regulation, knowledge, and performance in technology-based
training. Personnel Psychology, 55, (2), 267- 307.
Brown, K. (2001). Using computers to deliver training: which
employees learn and why? Personnel Psychology, 54, (2), 271-297.
|

|
| |
|
| |
|
|
| |
|
|
| |
Presented by Clarian Health
Committed to excellence in patient care, education and research
Stop feeling fatigued today!
Call it fatigue, listlessness, tiredness, lethargy, or just plain
feeling pooped, 7 million Americans visit their doctors each year
seeking an answer for why they are dragging. Well, you don't have
to be one of them. Here are some ways to avoid the most common causes
of fatigue. Read
the entire article...

|
| |
|
| |
| |
|
|
| |
|
| Events
Calendar |
| July |
| DATE/TIME |
EVENT/CONTACT |
LOCATION |
SPEAKER/TOPIC |
Thursday,
July 17 |
Contact:
DVICA
1-800-927-3815 |
Scott’s Seafood
Restaurant
1333 N. California Blvd.
Walnut Creek, CA |
Speaker:
Stewart Reubens, Esq.Ted Richards, Esq. Grancell, Lebovitz, Stander,
Barnes & Reubens
Topic:
Legal Update New Law per Labor Code & New Regulations |
Thursday,
July 17 |
WIWC
Monthly Meeting
Contact:
Mary Lundeen
916-929-9411 |
Luau Gardens
Zinfandel & Sunrise
Sacramento, CA |
Speaker:
Judge Robinson
Topic:
WCAB Procedures |
Friday, July 18
Deadline for registration is
June 30, 2003 |
DVICA 16th Annual Golf Classic
Contact:
Carl Starns
916-548-3633 |
Boundary Oaks Golf Course
3800 Valley Vista Rd.
Walnut Creek, CA 94598
Tel 925-946-0607 |
For information regarding sponsorships,
donations and general tournament information, contact Carl Starns
@ 916-548-3633 |
Wednesday, July 23
Registration 10:15am
10:30 am - 1:00 pm
We will provide a complimentary on-site lunch break from 11:30am
– 12pm |
Alliance Occupational
Medicine 9th Educational Seminar/Open House
RSVP: Rena Flovin
Tel. 408-790-2906
by July 16, 2003 |
2737 Walsh Ave
Santa Clara, CA
Tel 408-228-8400 |
Topic:
Workers’ Compensation – Before the Accident
Speaker:
Dan Azar MD Alliance Occupational Medicine & Meliessa Ogrodowski
TPO |
Friday, July 25
11:15 am - 11:30 am Registration
11:30 am - 1:00 pm Speaker and Lunch |
SBICA Luncheon
|
Eight Forty North First Restaurant
840 N. 1st Street (near Hedding St.)
San Jose, CA 95110 |
Speaker:
Jennifer Callan, Esq
Topic:
Third Party Actions |
Wednesday July 30
11:30 am
RSVP no later than
Monday before the event |
SFICA Luncheon
Contact:
Eric Schmit
510 893-4111 ext. 250 |
Oakland Marriott City Center
1001 Broadway
Oakland, CA |
Speaker:
Don Price, D.L. Price Investigations
Topic:
Fraud: Recognizing the Difference between Exaggeration and the Crime |
August |
| DATE/TIME |
EVENT/CONTACT |
LOCATION |
SPEAKER/TOPIC |
Friday, August 15
11:15 am - 11:30 am Registration
11:30 am - 1:00 pm Speaker and Lunch |
SBICA Luncheon
|
Eight Forty North First Restaurant
840 N. 1st Street (near Hedding St.)
San Jose, CA 95110 |
Speaker:
David Schmit, Esq
Topic:
Discrimination, Termination & 132a |
Thursday, August 21
11:30 am
Registration
12 pm
Speaker |
Contact:
DVICA
1-800-927-3815 |
Scott’s Seafood Restaurant
1333 N. California Blvd.
Walnut Creek, CA |
Speaker:
Doug Kyle, D.C.Sara Rankin, Lac.
Topic:
Alternative Medicine |
Thursday, August 21 |
WIWC
Monthly Meeting
Contact:
Mary Lundeen
916-929-9411 |
Luau Gardens Zinfande l& Sunrise
Sacramento, CA |
Speaker:
TBA
Topic:
TBA |
Friday, August 22
10:30 am - 12:00 pm
Registration
12:30 pm
Must be in Your Cart
1:00 pm
Shotgun Start
6:30 pm
Dinner
|
SBICA 2nd Annual Golf
Invitational |
Los Lagos Golf Course
2995 Tuers Road
San Jose, CA 95121
Tel. (408) 361-0250 |
For information regarding sponsorships,
donations and general tournament information, contact
Richard Ragan
(415) 515-6010 |
Wednesday, August 27
11:30 am
RSVP no later than
Monday before the event |
SFICA Luncheon
Contact:
Eric Schmit
510 893-4111 ext. 250 |
Oakland Marriott City Center
1001 Broadway
Oakland, CA |
Speaker:
TBD
Topic:
TBD |
Have an insurance related event coming up?
Email us the relevant information and we can place it in our Events
Calendar. Send us a note with the relevant facts and sponsoring organization
to eventform@adjustingworld.com

|
| |
|
Last
Laugh |
|
|
|


|
| |

|
| |
Adjusting World Wishes to Congratulate
all the Winners in our Wine Train Trip Giveaway.
Thanks to all
who participated!
|
|
Grand Prize:
John Ingram, Pacheco, CA
Godvia Chocolate:
Karen Lebeau-Montalvan, San Ramon, CA
Malcom Whyte, San Rafael, CA
Starbuck’s Gift Certificates:
Roni Baptista, Livermore, CA
Charma Green, Modesto, CA
Tri-Tip Highlighters:
Sue Davis, San Francisco, CA
Don Figuerres, Ventura, CA
Jacquie Hysmith, San Bernardino, CA
Alison Martino, Pleasant Hill, CA
Maureen Harris, San Leandro, CA
Petrea Agar, Corona, CA
Bob Mills, Sacramento, CA
Kerry Adamo, Sunnyvale, CA
Mary Stallmo, Long Beach, CA
Andrea Love, Novato, CA
|
|
|
Join our email list
|
|
|