Aflac Claims Workers’ Compensation Claims Drop for Firms Giving Accident, Disability Insurance

A higher percentage —  42 % on regular — of all organizations offering access to voluntary accident and disability insurance report declines in their workers’ compensation claims, in accordance to the outcomes of an online survey launched by Aflac, a leading provider of voluntary accidental and disability insurance coverage.  About 14 to 15 % of all employers reported declines of 50 % or more.

The percentage reporting workers’ compensation claims reductions is larger for greater firms, according to the report.

The Aflac Workers’ Compensation Report, an on the web survey conducted by Lieberman Analysis Worldwide on behalf of Aflac, asked 600 employers from tiny, medium and huge U.S. organizations if they supplied employees with accessibility to accident or disability insurance and, if so, whether they mentioned a corresponding decline in workers’ compensation claims.

When responses have been broken down by firm dimension, the survey found that fifty 5 percent of large businesses that provide access to accident insurance experienced declines in workers’ compensation claims, even though 34 % of small- and medium-sized businesses each reported declines.

Small employers are defined as people with 3-99 personnel medium employers as individuals with 100-499 personnel and massive employers as people with 500 or more employees.

“For many years, insurance agents and brokers have heard anecdotal rumors linking voluntary accident and disability insurance to diminished workers’ compensation claims, and we realized the anecdotes are real primarily based on our current research outcomes,” mentioned Tye Elliott, Aflac vice president of Core Broker Product sales. “These findings verify the correlation between accident and disability insurance and diminished workers’ compensation claims. Employers can now weigh the likely constructive financial effects of supplying accident and disability insurance towards the costs of workers’ compensation claims.

Accident Insurance coverage

In addition to asking employers if they could confirm declines in claims, the survey also inquired about the significance of people declines.  According to Aflac, these are the responses of organizations that give entry to voluntary accident insurance:

  • 14 percent of all employers reported declines of 50 percent or a lot more, although 17 percent reported declines of 25 to 49 %.
  • twelve percent of huge-sized companies reported reductions of 50 percent or far more, whilst 29 percent reported declines of 25 to 49 percent.
  • 13 percent of medium-sized firms reported reductions of 50 percent or a lot more, although 14 % reported declines of 25 to 49 percent.
  • 15 percent of little-sized firms reported reductions of 50 percent or more, although 9 percent reported declines of 25 to 49 percent.
Disability Insurance

The findings have been related for firms that offer accessibility to voluntary disability insurance coverage — almost half (47 percent) of large employers reported overall decreases in workers’ compensation claims. In addition, 43 % of tiny businesses and 33 percent of medium firms reported declines.

Respondents were also asked if they could gauge the significance of the declines:

  • 15 percent of all employers reported declines of 50 % or more, and 15 % reported declines of 25 to 49 percent.
  • eleven % of massive employers reported declines of 50 percent or far more, while 20 percent reported declines of 25 to 49 percent.
  • 18 percent of medium employers reported declines of 50 % or far more, although 6 percent reported declines of 25 to 49 percent.
  • 18 percent of modest employers reported declines of 50 % or far more, even though 17 % reported declines of 25 to 49 %.

According to Aflac’s Elliott, the outcomes “demonstrate that by making voluntary accident and disability insurance offered to personnel, organizations can frequently lower the frequency and cost of their workers’ compensation claims.”

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