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INSURANCE MATTERS
 
A Newsletter for Members of the CCAP Insurance Programs
Owned by Members, Governed by Members, Service to Members
 
April 2009 Volume 13, Issue 4
Specialty Lines
 
Hello ,
 
"Doing nothing is very hard to do ... you never know when you're finished."
                                     - Leslie Nielsen
 
You may have seen a recent article in Insurance Matters about our new RMAP program.  The Risk Management Assistance Program is a new initiative of PComp, our workers' compensation insurance pool.  It is designed to help PComp members with high experience modifications work to reduce their mods, and save money.
 
Part of the program involves regular internal group meetings of people from all sections of the insurance staff, including me.  We review each of the 15 members with high mods, and where we are in our work with the members.
 
We just had the second of these meetings, and as I sat there listening to the updates on each member; I started to get more than a little concerned.  Over and over again I heard the staff who worked with the member indicate that the county or county related entity was not really doing very much from a risk management standpoint.  There were few or no safety committee meetings and not much attention to return-to-work.  In some cases it was not clear who was responsible for workers' compensation risk management.
 
Once I realized that we were talking about just those members who had high mods, I was a little less concerned (I was thinking we were talking about all our members!).  And then, of course, it hit me - what an example of what can happen when no action is taken!
 
Sometimes members assume because they have had few claims and not many employee injuries, this means they do not have to worry about having an active safety program. But here is clear proof that doing nothing, or doing very little, will eventually catch up with you. PComp members who make the commitment to safety will generally see it pay off in the long run.  There needs to be a continued commitment to loss control every year.  A good reminder is that experience mods are based on a three year claims picture - so one bad year of the three can really increase your insurance costs.  Loss control is not something you can do well one year, and then stop for a while.
 
Make sure you call us when you need help with something,
 
                              John Sallade
 
In This Issue
Specialty Lines
PELICAN Welcomes Elk Haven
Spring Workshops Underway
Work Comp Conference
Apply For Governor's Award
Successful Safety Committees
SAVE With Workplace Safety
Navigate Low-Interest
Assessment Appeals And County Functions
PRO Welcomes NBHP
Quote Of The Month

Quick Links 

Join our Mailing List!
 
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PELICAN Welcomes
Elk Haven
 
By Christie Ward,
Captive Programs Manager
 
PELICAN Insurance, RRG, is pleased to welcome Elk Haven Nursing Home as our 31st member in the program.
 
PELICAN offers professional liability and general liability to PACAH member county owned and non-profit nursing homes in PA.
 
For more information on PELICAN, contact Christie Ward at (800) 895-9039 or cward@pacounties.org.
 
 
Spring Workshops Are Underway! 

By Linda Rosito, Insurance Training Director

 

This spring our workshops offer a wide variety of topics including our ever popular HR Law Boot Camp, Prison Risk Management Workshop, Respect in the Workplace, Leading and Performing in Peak Performing Teams, Defensive Driving Course and Getting Through the Economic Sausage Grinder. There is something for everyone. And if your county is a member of the sponsoring insurance program, workshop attendance is FREE.

 

If you are not sure if your county is a member of the sponsoring workshop please refer to the CCAP Insurance Programs Member Listing on the Glimpse Online. Your attendance at workshops also helps your county by gaining the educational credit for each insurance program's Loss Control Incentive program.

 

We also have workshops that are co-sponsored by the Academy for Excellence in County Government and FREE to participants in that program.

 

Please take the opportunity to check the Glimpse Online for information on all the workshops this season.

 

If you would like additional copies of the Glimpse, please contact us. As always, if you have any questions, please feel free to contact Linda Rosito or Jenn Carey.

 

We look forward to seeing you this spring!
 
 
8th Annual Labor & Industry Workers' Compensation Conference 
 
The PA Department of Labor & Industry, Bureau of Workers' Compensation, invites you to attend the 8th Annual Workers' Compensation Conference! This year's event will be held May 27-28, 2009, at the Hershey Lodge & Convention Center. For additional details, visit the Web: http://www.dli.state.pa.us/landi/cwp/view.asp?a=138&q=251674.
It's Time To Apply For The Governor's Award For Safety excellence! 
 

If you are proud of your workplace safety and prevention program for reducing employee injuries, financial benefits and other achievements, then you should apply for the Governor's Award for Safety Excellence! The purpose of the award is to recognize outstanding prevention programs and the superior management/employee collaborations that make these programs so successful. Companies can nominate themselves or be nominated by a third party.

 

Download the nomination form and submit it by June 1, 2009 to:  

 

Michelle Kafkalas

Bureau of Workers' Compensation

Health and Safety Division

1171 South Cameron Street

Harrisburg, PA 17104

(717) 772-1917

RA-LI-BWC-Safety@state.pa.us

 

About the Award

Providing a safe work environment for Pennsylvania's workers requires complete commitment by employers and employees. The Governor's Award for Safety Excellence is a highly competitive award. The information gained from these nominations provides valuable best practices that are shared across the state.

 

Any Pennsylvania employer is eligible for the Governor's Award for Safety Excellence; nominations for the award are voluntary. Information and criteria used to determine finalists include workplace injuries/illnesses vs. industry standards; and innovation and strategic development of safety policy and approaches.

 

Previous Award Winners: Please note that unless there have been significant changes in a safety and prevention program, previous winners will not be considered for future awards.

 

Initial review of all nominations is conducted by the Governor's Award for Safety Excellence Semi-Finalist Review Committee. If approved by Labor and Industry Department officials, the semi-finalists are contacted for an on-site visit. Site visits are conducted by a member(s) of the Department's safety team for review of the nominee's comprehensive safety program. Site visit reports are written and distributed to the Governor's Award for Safety Excellence Review Committee for the determination of finalists. Recommendations are then forwarded to the Secretary of Labor and Industry who makes the final determination.

 

A special luncheon at the annual Governor's Occupational Safety and Health Conference in Hershey, PA is the stage for winner recognition and awards presentations.

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Successful Safety Committees

By Greg Cunningham, ARM, GSP, Loss Control Specialist

 

A successful safety committee helps the county or entity in many ways. One way is that it brings employees from different departments together with the purpose of keeping all employees safe while on the job. The committee can do this through inspections, discussions of problem areas where claims may be occurring and keeping other committee members abreast of changes in the different departments.

 

WHY HAVE A SAFETY COMMITTEE?

For many of the CCAP insurance programs, having an effective safety committee will not only save you money on insurance in the form of loss control incentives but we also like to believe that by doing some of these things it will lead to a reduction of injuries on the job and associated workers' compensation costs. Plus, seeing that management cares about your health and safety goes a long way in employer -employee relations.

 

SAFETY COMMITTEE PURPOSE

Your Safety Committee is a group of volunteers designated to promote and maintain a safe and healthy workplace. The committee should be comprised of at least five (5) staff members and all major departments in the county should be represented. The chairperson of the committee may be designated by the commissioners or may be elected from within the committee itself and may be the designated Loss Control or Claims Coordinator however, this is not necessary.

 

SAFETY COMMITTEE RESPONSIBILITIES

The committee shall meet a minimum of six times per year if a member of PComp or four times per year if the entity is a member of PCoRP. Issues that arise in either program can be discussed during one meeting; there is no need to hold separate meetings for each program. We schedule our meetings here at CCAP early in the year so as to avoid any scheduling conflicts that might arise throughout the year. Each safety committee meeting should contain the following:

 

º      Formal minutes should be maintained for each meeting.

º      Minutes shall indicate members present or absent.

º      Incidents since last meeting should be reviewed. Review should not indicate names and should not assign blame.  Review is for the purpose of preventing a recurrence.

º      An accident analysis should be developed to note trends or repetition of incidents, hazards, or staff.

º      Review progress of old business.

º      Discuss new business.

º      Minutes should show name of responsible person for action.

º      Safety related education or training.

º      Minutes should indicate date, time and location of next meeting.

º      Minutes should summarize unsafe acts or conditions identified by the inspection reports.

 

The committee should also perform the following duties:

 

º      Review or develop emergency action plans for each county building or location.

º      Conduct and report on self-inspections completed in county owned buildings and facilities.

º      Provide regular reports or meeting minutes to the commissioners, CCAP insurance program which you belong to and other committee members.

 

While this might seem like a lot of work it is easily split up among the members of the committee. Each member should be responsible for reporting on and following up on the department which they represent. While the Safety Committee is responsible for promoting a safe and healthy workplace it is the individual members themselves who must make sure their department is following through.

 

MANAGEMENT COMMITMENT

The ultimate responsibility for safety in any organization starts at the top.  A safety policy statement for the county or entity should be developed and signed by the commissioners or executive director.  The formal written safety policy statement demonstrates to all staff the support and commitment of the commissioners or executives of the organization. The safety policy statement should be reviewed at hiring and publicized in order that all county or entity personnel are aware of the policy.

 

Please contact the CCAP Loss Control team should you have any questions on how to make your Safety Committee a successful one.

 
 
PA Businesses Saved $300 Million With Workplace Safety Program
By John Sallade, Managing Director CCAP Insurance Programs
 

Pennsylvania businesses have saved more than $300 million thanks to a program that allows workplaces to save five percent annually on workers' compensation insurance premiums (see Box Score below).  Businesses qualify for the savings if they have a state-certified safety committee. More than 7,800 workplaces have those panels in place, covering more than one million employees.

 

"Since 1994, state-certified workplace safety committees have protected more than one million hardworking Pennsylvanians and the bottom line of more than 7,800 businesses, but we need to do more," said Labor & Industry Deputy Secretary Liz Crum. "I join Governor Rendell in encouraging employers to start a state-certified workplace safety committee, not only for the economic incentive, but also for the well-being of your workers."

 

Since Governor Rendell took office, employer participation in the state-certified workplace safety committee program has increased by 45 percent - from 5,369 in 2003 to 7,812 so far this year. During the same time, the number of employees covered by safety committees increased from 747,417 to 1,068,540.

 

For more information on the certified safety committees, contact: email RA-LI-BWC-Safety@state.pa.us or call (717) 772-1917.

 

Box Score

The cumulative number of certified workplace safety committees receiving 5 percent workers' compensation premium discounts since March 1994 is 8,088 covering 1,096,870 employees.

 

The cumulative grand total of employer savings equals $322,059,611.

 

Editor's Note:  Group workers' compensation self insurance programs such as PComp are not required to provide the 5% discount for certified safety committees.  PComp has established its own discount program, and members can earn up to 5% by accomplishing annual loss control goals, and an additional 2% if they have a full time risk manager.

  

 
Strategies For Navigating A Low-Interest Environment 

By Dave Sallack, Managing Director, PFM Asset Management LLC

 

For years, local governments have used investment income as an important source of revenue. But regulations limit local governments to only certain types of conservative investments. Over the past several months, the rate of return has dropped on most permitted investments.

 

For example, the 3-Month U.S. Treasury bill, a key vehicle for municipal investors, currently yields close to 0.20%. In 2007, the average yield was around 4.50%.

 

In this type of environment, there are several recommendations that municipalities should consider:

 

SEEK SAFETY FIRST

When managing public funds, the first investment priority should always be safety. For those invested in banks, remember that the FDIC insures up to $250,000 of interest-bearing deposits (including CD's) in a bank through December 31, 2009. Any amount of public funds invested above $250,000 must be collateralized under PA Act 72 of 1971.

 

UNDERSTAND ALL TERMS OF AN INVESTMENT

A rate of return is clearly important, but it is not the only variable to consider. Others include fees, which may reduce the overall return on an investment; the term of an investment; and penalties for withdrawal or additional investment, among others.

 

ADJUST EXPECTATIONS TO MEET COMMITMENTS

Even in challenging financial times, municipalities should have an up-to-date understanding of the expectations for each investment in terms of degree of investment risk, return on initial investment - and most especially accessibility of funds for expenditures (liquidity).

 

DON'T CHASE YIELDS

While the current economic environment places pressure on local governments to maximize returns, they should take care not to "chase yields," which can result in a departure from an investment plan or from critical investment principles.

 

Safety always takes precedence over yield when investing public funds. It becomes even more important in times of economic distress.

 

Dave Sallack is a managing director with PFM Asset Management LLC in Harrisburg. He can be reached at sallackd@pfm.com.

 

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Assessment Appeals And County Functions Workshops Scheduled For April 

By Mandi Glantz, Director of Member and Vendor Relations

The County Commissioners Association of Pennsylvania (CCAP) is pleased to announce two workshops being held April 16 and 17 at the CCAP North Office in Harrisburg, PA.
 
On Thursday, April 16, join us for the "Assessment Appeals Administration Through Innovative Approaches To County Government" session with county assessors Steve Howe, CPE and Randy Waggoner, CPE. Topics of discussion include assessment appeals valuation, the appeals hearing, exemption appeals, innovations in the assessment office, GPS and GIS, among others. This course is co-hosted by the Assessors' Association of Pennsylvania (AAP) and is scheduled from 9 a.m. until 3 p.m. with lunch included. Participants in the CCAP Academy For Excellence In County Government may earn credit to fulfill the Innovative Approaches To County Government required course upon participation at the event.
 
Friday, April 17 features a "County Functions And Responsibilities" overview. The unique format of this half-day workshop will accompany a DVD broadcast of a session held at the November 2007 Newly Elected Officials Workshop. Topics of discussion include an introduction to county government, human services overview and county insurance options. The video presentation will be followed by a live discussion featuring CCAP Executive Director Douglas Hill, Deputy Director Brinda Carroll Penyak and CCAP Insurance Programs Director John Sallade, CRM. The course will run from 9 a.m. to 12:30 p.m. and participants in the CCAP Academy For Excellence In County Government may earn credit to fulfill the County Functions And Responsibilities required course upon their participation at the event.
 
The workshops are open to all county commissioners, chief clerks, administrators, solicitors and their counterparts in home rule counties. Associate members and other CCAP vendors are also invited to attend. Registered Academy and Academy Advanced Certification participants attend at no cost. The costs for non-Academy participants (CCAP members) vary. Other fees may apply to Academy graduates, associate members and other vendors. The workshop fee includes refreshment breaks and session materials on both days, and lunch is included on April 16.
 
Seating is limited - for registration information, please visit the CCAP Web site at www.pacounties.org and look for information under the "What's New" section of the home page or you may contact Mandi Glantz, CCAP director of member and vendor relations, by phone (717) 526-1010 or e-mail mglantz@pacounties.org
 
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COMCARE PRO Welcomes Northwest Behavioral Health Partnership 
By Christie Ward, Captive Programs Manager
 
The Northwest Behavioral Health Partnership will join COMCARE PRO July 1. The Partnership includes the counties of Mercer, Venango and Crawford. This addition to the PRO membership brings the number of counties in the program to twenty-one.

COMCARE PRO is a reciprocal risk retention group (RRG) offering stop loss insurance for high cost behavioral health inpatient and RTF claims.
 
For more information on COMCARE PRO, contact Christie Ward at (800) 895-9039 or cward@pacounties.org.
 
Quote Of The Month
 
 "I have found that by trusting people
until they prove themselves unworthy of that trust,
a lot more happens."
 
- Jim Burke
 
 

CCAP Insurance Programs
PO Box 60769, Harrisburg, PA 17106-0769
Phone (800) 895-9039 - FAX (717) 526-1020
Claims Fax (888) 692-2368
Click here to go the Insurance Section of the CCAP Website.

email:jsallade@pacounties.org

Insurance Matters is published monthly by CCAP Insurance Programs for the use of members of CCAP's UC Trust, PCoRP, PComp, PIMCC, COMCARE, COMCARE PRO, BEST Flex, PELICAN and other insurance programs, and insurance producers of these members.

Advice contained in this publication is not legal advice and members are encouraged to seek the opinion of their solicitor.

The information provided in this publication is not intended to take the place of professional advice. Readers are encouraged to consult with competent legal, financial, or other appropriate professionals. Statements of facts and opinions expressed in this publication, by authors other than Association staff and officers, are the sole responsibility of the authors and do not necessarily represent an opinion or philosophy of the officers, members and staff of the County Commissioners Association of Pennsylvania (CCAP). No endorsement of advertised products or services is implied by CCAP unless those products or services are expressly endorsed, or are owned or managed by the Association programs, or our affiliates. This publication may not be reproduced, modified, distributed, or displayed in part or in whole, by any means, without advance written permission of CCAP. Please direct your requests to John Sallade, Managing Director, CCAP Insurance Programs, jsallade@pacounties.org.

Note: As part of its copyright agreement the CCAP grants the author the right to place the final version of his/her manuscript on the author's homepage, subject to CCAP's standards, or in a public digital repository, provided there is a link to the CCAP website.

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