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DRMA

Sedgwick cost containment

Submitted By Paul Feck, Sedgewick on Monday, 1/8/2024


As most employers know, the financial and emotional impact of a work-related employee injury can be significant. While the primary goal is to ensure the injured worker receives appropriate care, minimizing the costs associated with the accident should also be a focus for employers.


In Ohio, there are three primary cost containment options for employers – Settlement, Handicap Reimbursement, and Subrogation/No-Fault Motor Vehicle Accident (MVA). Sedgwick is the industry leader in successfully employing these options. 


Significant premium savings are available to employers through these cost containment initiatives; however, the injured employee does not see a reduction in their benefits when the cost containment options are utilized. 


We utilize leading measures and predictive cost containment to help Ohio employers contain costs and lower premiums. When a claim occurs, Sedgwick is ready to apply cost containment strategies to quickly resolve the claim, resulting in cost savings for the employer.


Sedgwick has a dedicated cost containment team that solely focuses on achieving significant cost savings for our clients through Settlements, Handicap Reimbursements, and Subrogation/MVA. Our efforts have resulted in massive cost reductions for not only the individual employer but for all employers participating in group retrospective rating.


Sedgwick savings results include:

  • Handicap condition relief estimated premium refunds, savings, and increase in group retro refunds savings range of $13,253,289 to $14,608,194

  • Settlements estimated premium savings and increase in group retro refunds: $9,589,890

  • Motor Vehicle Accidents (MVA) estimated claim costs charged to surplus fund: $9,733,503 (may not equate to dollar-to-dollar savings - based on total costs at the time of MVA surplus approval)

Sedgwick is honored to partner with you on successfully managing your workers’ compensation program.  Sedgwick’s early, proactive cost containment strategies will continue to be an ongoing priority toward achieving the best outcomes for clients and their injured workers.

If you have any questions, contact our Sedgwick program manager, Paul Feck, at paul.feck@sedgwick.com.


Interested in submitting an article? Email info@daytonrma.org for more information.


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