California Contractors Network S.I.G. Builds Strong Numbers in Face of Workers’ Comp Crisis

March 30, 2004

With workers’ compensation reform a hot button issue and Sacramento sending mixed signals that a successful compromise can be reached this year, a small group of California contractors have successfully racked up positive results for 2003.

Insurers in California spent nearly 80 percent of collected premium on medical costs in 2003, according to data released by the California Department of Insurance. California Contractors Network Self Insured Group “reformed” the system by offering hands-on safety programs and aggressive claims management.

“Our loss ratio for 2003 was 21 percent. That’s what we spent on actual medical claims all last year. This shows that our brand of safety training and claims handling works well in California,” said Tom Wheeler, president of Self Insured Solutions, the group administrator for CCN. “Our group is strong, our members are saving money, and workers are getting the best medical care available. With a good program, everybody wins.”

The group currently has 25 members with a contribution level of $11 million annually.

CCN is California’s first construction-oriented workers’ comp self insured group. Safety programs, post-accident drug testing, Return-to-Work programs and aggressive claims management are in place to save millions in workers’ comp costs. CCN is made up of California contractors who fall within the two-digit SIC Code “17.”

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