A large construction company located on the North Shore with 58 employees and annual revenues of $8 million was experiencing high insurance premiums due to a lack of classifications as well as an increasing MOD factor from frequent small claims activity.

It was determined that a lack of job descriptions and clarifications was resulting in lump sum payrolls being assigned to the highest rated code on the policy. In addition, the MOD was also projected to increase due to the small claims activity for the next policy period.

The team at Knight-Dik was able to develop detailed job descriptions and separation of duties to properly classify all employees in payroll to the appropriate class codes. Knight-Dik also worked to establish relationships with local medical care providers to slow small claims activity.

Because of the efforts of Knight-Dik, the insured annualized premium was dropped approximately $18,000. Along with the premium savings, the increasing MOD was halted in place.

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