A home health care provider recently engaged us to review their workers compensation premiums and ensure their policy calculations accurately reflected their operations. With rising insurance costs and tight margins in the healthcare sector, even small inaccuracies can have a meaningful financial impact.

Our review began with the company’s Experience Modification Rating for their past policy periods. We identified an opportunity to request corrected loss reporting from a prior insurance carrier, which resulted in the rating being reduced from .553 to .549. While the adjustment may appear minor, it directly lowered the final audited premium for the current policy. In fact, the company benefited from a $12,569 refund simply by applying the corrected rating.

In addition to the rating correction, we identified classification issues involving several employees who had been assigned to a more expensive job code than appropriate. After correcting these classifications, the company realized an additional $17,462 in savings across two policy periods.

This case reinforces an important point for healthcare operators and financial leaders alike: even small adjustments to ratings and classifications can have a measurable impact on cash flow and long-term cost control when properly identified and corrected.