PROPERTY & CASUALTY
CASE STUDY
A midsize manufacturer faced steadily rising workers’ compensation costs, even though the frequency of claims remained relatively stable. A review of the program showed that incurred losses averaged approximately $4.2 million over a three-year period — about $1.4 million annually. This increase stemmed largely from more complex claims, longer durations, and escalating medical and indemnity expenses.
If the company did not improve how it identified and managed claims early on, it would continue to experience unpredictable costs and would lack clear insight into which losses had the greatest financial impact.
BACKGROUND
USI worked with the organization to implement a structured claims triage approach focused on early reporting, severity‑based handling, and targeted medical and vocational oversight. Our experts designed this strategy to identify potentially complex claims sooner and align resources accordingly. Key elements included:
PROPERTY & CASUALTY
CASE STUDY
Background
Comprehensive Solutions
Learn how structured claims triage supports faster recoveries, lower costs, and more predictable workers' comp outcomes.
Connect with one of USI’s experts to find out how a targeted claims triage strategy can deliver bottom‑line impact for your organization.
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Due to earlier treatment alignment and fewer late-stage complications
Faster return to work led to fewer prolonged disability periods
Earlier intervention reduced high‑cost workers’ comp claims
$185K
Medical
Savings
$310K
Indemnity
Savings
$495K
Costs
Avoided
Within 18 months of implementation, USI’s strategy helped the company achieve measurable improvements. These included a 21% reduction in average claim duration, driven by earlier intervention and faster return‑to‑work outcomes, and a decline in litigated claims from 14% to 9%, reducing legal expenses and settlement volatility.
In total, the organization avoided an estimated $495,000 in workers’ comp costs over the 18‑month period — representing a 35% reduction in annual incurred losses compared to the prior baseline. Improved reserve accuracy and shorter claim tails also enhanced predictability, supporting more informed budgeting and risk financing decisions.
REAL RESULTS
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How USI's structured approach helped control workers’ compensation costs
The Financial Impact of Early Claims Triage
Accelerated incident reporting timelines to support earlier intervention
This approach allowed the organization to concentrate resources where they would have the greatest financial and operational impact, while maintaining efficient handling of lower‑severity claims.
Early identification of higher‑severity and complex claims requiring enhanced oversight
Proactive nurse case management for medically complex or prolonged claims
A formal return‑to‑work escalation process for claims exceeding expected recovery benchmarks
