LAORMLAORMLoss Prevention Loss Prevention

IntroductionIntroduction

Services FARA Services FARA Provides:Provides:

• Conduct Full Audits – every 3 years

• Compliance Reviews – conducted in between Full Audit years

• Facility Walkthroughs – annually

• Building Appraisals – 4 year cycle

• Assist in Inspections

• Accident/Incident Investigations

• Ongoing Consultations

• Offer LP Coordinator Training

Training:Training:Annual Training on LP Program

New and Existing LP Coordinators Conducted on a quarterly basis across the state at the following predetermined regional sites:

February 2012 – Baton Rouge April 2012 – Monroe July 2012 – Thibodaux October 2012 – Mandeville

An email containing an Eventbrite web link will be sent to all Agencies to register for a specific training class.

Also training can be offered within the quarterly intervals through live teleconference / webinar setting.

Next Step Defensive Driver TrainingForklift Training

www.laorm.com

Additional LP Additional LP Information:Information:

www.laorm.com Claims Reporting Loss Analysis Info LP Video Library LP Training Resources Contact Information

LP Contact Information:LP Contact Information:

LAORMLAORMLoss Prevention Loss Prevention

Targeted Risk Improvement ProgramTargeted Risk Improvement Program

Program Program Overview Overview

Reduce claims cost through a consultative Reduce claims cost through a consultative approach to Loss Prevention.approach to Loss Prevention.

Target/Benchmark agencies by use of Cost Per Target/Benchmark agencies by use of Cost Per Man-hour (CPH) methodology.Man-hour (CPH) methodology.

Refocus & enhance the agencies current efforts Refocus & enhance the agencies current efforts from a LP standpoint.from a LP standpoint.

How is the CPH How is the CPH Calculated: Calculated:

Total number of hours worked per year divided Total number of hours worked per year divided by the total claims cost for that year. by the total claims cost for that year.

Avg. cost per employee’s hourly wage that Avg. cost per employee’s hourly wage that goes towards WC claims cost.goes towards WC claims cost.

Calculate all agencies/locations CPHCalculate all agencies/locations CPH

Set a targeted benchmarkSet a targeted benchmark

Formally invite agencies in writing that are above the Formally invite agencies in writing that are above the benchmark to participate in the Program. (Not Mandatory)benchmark to participate in the Program. (Not Mandatory)

LP Consultant conducts detailed loss analysis by Line of LP Consultant conducts detailed loss analysis by Line of Coverage (i.e., Workers Comp, General Liability, Coverage (i.e., Workers Comp, General Liability, Commercial Auto, etc.), accident type, occupation, location, Commercial Auto, etc.), accident type, occupation, location, etc.etc.

The Targeted Process:The Targeted Process:

Process, cont…Process, cont…

• LP Consultant will meet with agency representative LP Consultant will meet with agency representative to review loss data, establish program goals to to review loss data, establish program goals to mitigate loss drivers, and review process protocol.mitigate loss drivers, and review process protocol.

Work alongside agencies’ LP Coordinators to find Work alongside agencies’ LP Coordinators to find solutions that meet the agencies’ needs and budget solutions that meet the agencies’ needs and budget constraints.constraints.

Discuss & recommend tools available to the agency.Discuss & recommend tools available to the agency.

Monitor Results. Monitor Results.

Top Performing Top Performing Agencies:Agencies:

Agency CPH

Department of Natural Resources $0.00

Department of Public Service $0.00

Department of Economic Development $0.02

Secretary of State $0.02

Department of Environmental Quality $0.04

Employee Benefits $0.06

Louisiana Judiciary $0.07

Department of Education $0.08

Department of Civil Service $0.08

Louisiana Technical Colleges $0.08

Southern University Systems $0.08

Office of the State Treasurer $0.08

Louisiana Boards & Commissions $0.09

Louisiana Legislature $0.11

Office of Workers Compensation $0.12

Department of Social Services $0.13

Division of Administration $0.14

Program Program FactsFacts 2010 WC claims cost the state 30.2¢ per man-hour worked

A reduction of just 1¢ per man-hour would save the state $1.9 million in claims cost in a year’s time.

A reduction rate of 1¢ per man-hour would result in a cumulative savings of $18.6 million in claims cost over the next 4 years.

Maximum results can only be achieved through commitment, cooperation and support at all levels.

Questions & AnswersQuestions & Answers