What is a loss run report?
A loss run is a report generated by your insurance company showing the claim activity on each of your insurance policies. The loss run serves a number of purposes, including the following: Informational: Gives you a detailed account of the claims activity on your policy during a given policy term or terms.
How do I read a loss run report?
Tips on Reading Loss Runs
- Look for trends. Do most of your claims happen on a certain day of the week?
- Pinpoint the status of claims. Get a better understanding of claims that have been closed out and what claims are still open, so you can work towards a resolution.
- Examine the numbers.
What does mod rate stand for?
compensation experience modification rate
Your worker’s compensation experience modification rate is the very long and official name for what is commonly known as: Comp Mod, Experience Mod, or. X-Mod.
What is a mod analysis?
Your Mod represents the cost of losses over a three year period that shows either a credit or debit that’s applied to your workers’ compensation premium. Controlling your Mod means controlling your premium. Your Mod is affected by both the number of losses that your company incurs and the amount of those losses.
What is a bad EMR rating?
The average EMR is 1.0, which means that the contractor is found to be no more or less risky than majority of other contractors. Typically, a rating under 1.0 is considered good, or relatively safe. If your rating is above 1.0 it is considered bad, or riskier.
How is mod rate calculated?
At its core, the math used in determining this is actually quite simple; “Actual losses” divided by “Expected losses” equals “Experience Modification Factor.” An employer with an experience mod of 1.00 is exactly average in its claims cost loss experience compared to businesses of similar size and industry.
What is a mod factor?
Modification Factor (The “Mod”) — the factor by which a standard workers compensation premium is multiplied to reflect an insured’s actual loss experience.
What is a schedule mod in insurance?
Schedule Rating — modification of manual rates either upward (debits) or downward (credits) to reflect the individual risk characteristics of the subject of insurance.
“Loss Runs” is an insurance term referring to an employer’s “Official Work Comp Claims Report.” This loss run report is obtained from all the employer’s work comp insurance carriers that have insured the employer the last 3 years.
What are insurance loss runs and why are they important?
Insurance loss runs are reports of your business insurance claims history. These reports show the previous claims that have been filed under your insurance policies. The insurance policies include: Think of insurance loss run reports as the insurance world’s equivalent of credit scores.
Do I need to file a loss run report with insurance?
In some cases, you may not need to file an official request with the insurer. Some insurance providers have websites or online portals from which you can directly download your loss run reports.
What should be included in a loss run request?
Your loss run request should include the following specifics: In most states, the insurer is required by law to provide this information to you, usually within 10 business days.