Steps to Managing Illness-Related Absences

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March 14th, 2017

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shutterstock_174875483Absence management encompasses a number of attendance issues. Any effective attendance policy will provide details on a variety of absences including sick leave, personal leave, vacation leave, disability leave, and more. However, these guidelines often exist for employees. How to implement an attendance policy and facilitate the return-to-work process can be confusing for employers. Below are some steps managers can take to navigate the process for illness-related absences.

When an Employee Calls Out of Work

Managers should always find out the details behind the absence as well as a general period for when the employee will be fit to return to work. They should also find out if the absence is related to an incident at work to prepare for a potential worker’s compensation claim. If the illness is cyclical, the employer may need to discuss medical treatment needs to ensure the workplace is not contributing to the recurring problem. Employers should also take this time to remind the employee about the attendance policy and if they need to provide additional information such as a doctor’s note.

When the Employee is Absent

Employers should encourage employees to provide updates on their condition. The employer should not be overbearing about these updates, but proper timelines are necessary for adequate absence management. If the employer does not know the nature of the illness (i.e. short-term vs long-term), they cannot set up an appropriate return-to-work plan. Employers should also keep accurate records of all correspondence with employees regarding their illness.

Return-to-Work Process

The company attendance policy should outline the return-to-work process so employees know what to expect. Some companies only opt to require return-to-work interviews for extended absences or habitual short-term absences. Employers should consider any accommodations the employee may need to facilitate a successful return-to-work. This includes any recommendations given by the employee’s physician as well.
Other elements to consider for the return-to-work process are:

  • A phased return
  • A flexible schedule
  • Modifying duties
  • Upgrading the employee’s workstation to reduce a chance of relapse (e.g. an ergonomic chair after a back injury)
  • Moving the employee’s workstation to an easier to access area

Employers can improve their absence management procedures by keeping track of an employee’s recovery progress, providing proper support, and addressing any issues as they arise. To learn more about effective absence management strategies, contact the experts at Actec.

Is Your Claims Process Ready For Autonomous Vehicles?

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March 7th, 2017

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greenhouse gas truckThe number of automated processes within any given vehicle continues to grow as technology progresses. Fully autonomous vehicles are on the horizon and insurance companies need to prepare themselves for this reality. Autonomous vehicles will change claims management to a significant degree. Some examples of these changes include:

  • Targets of claims and lawsuits
  • How adjusters allocate liability
  • An increase in product liability claims

With incidents involving traditionally operated vehicles, most claims and lawsuits target one or more drivers. By removing drivers from the equation, individuals will turn to the car and technology manufacturers. Technology may be insusceptible to distractions and alcohol, but it can wear down over time. Experts expect many autonomous vehicle lawsuits to focus on the potential for fatigued software to malfunction.
Meanwhile, insurers will need to consider how they will assign liability after a customer makes a claim. Another liability headache adjusters should expect is dealing with shared ownership of a vehicle. Autonomous vehicles come with a hefty price tag, so more than one individual may own and operate the vehicle. This adds an additional layer of complexity to allocating liability.

Expect More Product Liability Claims

Specialists are predicting a rise in product liability claims for one significant reason: money. Car manufacturers and software development companies have much deeper pockets than one individual does. This makes them a lucrative target. Engineers responsible for crash avoidance algorithms could also find themselves liable or pulled into lawsuits.
While autonomous vehicles pose certain difficulties for insurers, experts agree the technology will reduce accidents. Insurers may need fewer dedicated auto adjusters as a result, but they will need a proportionate increase in product liability adjusters. Regardless, insurance companies need to examine their current claims management process. To learn more about custom claims management solutions, contact the experts at Actec.

FNOL and Technology: Human Element Still Required

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February 23rd, 2017

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shutterstock_138016598 - CopyAs more cars integrate some sort of smart technology, auto insurance agents find themselves wondering if they will soon be out of a job. While OEMs can report accidents and get the first notice of loss (FNOL) process rolling, agents can rest easy. Customer, particularly younger customers, still want a human element involved in their claims process. This is great news for insurance agents as Generation Y made up the largest portion of auto insurance claimants for 2016 at 40%—this is a 7% increase from 2015.
While their customer satisfaction levels are the lowest of all the generations making claims, their perception is improving. Generation Y also has significant influence over the auto insurance industry. Because of this, many insurance providers are taking steps to address this generation’s wants and needs.
While Generation Y values smartphone apps and text alerts, they appreciate human interaction more. For example, a Generation Y claimant is more likely to use a mobile app for FNOL purposes than other age groups. However, they will want to talk to an actual agent about next steps and how their claim is progressing.

The Shifting Role of Insurance & Claims Agents

Successful insurance agents will adapt to new technology to meet their clients’ needs. Learn how customers are using technology and be ready to fill in the gaps. In addition, when a customer calls they have much higher satisfaction levels when they remain on the line with that agent. Their satisfaction drops if the original agent transfers them to a call center and it takes an even greater hit if the agent tells the customer to contact the call center himself or herself.
Customer satisfaction affects customer loyalty. Agents cannot afford to neglect client’s concerns or rely too much on technology to do the heavy lifting of a claim. To learn more about improving your business’s approach to FNOL or overall claims process, contact the experts at Actec.

Managing Presenteeism in the Workplace

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February 16th, 2017

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shutterstock_252811903 - CopyMany employers focus absence management efforts on common issues that cause absences or on individuals with chronic attendance problems. Not many, however, address an issue that has the potential to be a much bigger problem than absenteeism: presenteeism. Presenteeism occurs when employees continue to come into work despite being ill.

Consequences of Presenteeism

Traditional-minded managers may view presenteeism as a somewhat positive character trait. It shows the employee is dedicated to their work. However, employees who work while ill pose risks that outweigh the benefits of them not taking a sick day. For starters, a sick employee is not 100 percent focused on the job at hand. This means they are more prone to making errors that can be costly to fix.
Another issue is the loss of productivity due to presenteeism is much more than if the employee had called out sick to recover. This is because the employee is likely to stay ill for longer when not getting adequate rest. If the employee is only able to give 50 percent of their attention to their job for a week while recovering rather than taking one sick day, much more productivity is lost.
Additional negative effects of presenteeism include:

  • A reduction in workplace morale
  • Higher levels of absenteeism for stress-related issues
  • An increase in mental health problems among employees

How to Manage Presenteeism

Establishing guidelines for managing presenteeism can save companies money both in the short-term and long-term. It can also improve employee morale, productivity, and commitment. Below are some tips for reducing presenteeism in the workplace.

  1. Clarify expectations. Real or perceived pressure to come into work even when ill contributes to presenteeism. Companies need to update their policies and train managers to make it clear that employees need to stay home when ill for a proper recovery.
  2. Recognize common presenteeism causes. A prevalent cause of presenteeism is high workloads. Many employees feel obligated to come into work while ill to manage their amount of work. They feel guilty forcing other coworkers to take on some of their responsibilities or worry about meeting deadlines.
  3. Know the symptoms. An increase in stress-related absences or mental health issues among staff are indicators of a presenteeism problem. Reducing the stigma or addressing mental health problems can also help employees get the help they need. Consider training seminars or hosting awareness programs to provide managers with a better understanding of the effects of wellbeing in the workplace.

Proper metrics are vital to catching a potential presenteeism issue before it becomes a full-scale, company-wide problem. Actec understands your company needs to be able to track and quantify absence data in a meaningful way. To learn more about our Absence Reporting Program, contact us.

Claims Management: Tips for Detecting Fraud

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February 9th, 2017

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claim fraud car on fireSome fraudulent insurance claims are obvious right away. For example, a customer may call to claim he or she was in a hit-and-run accident. They may describe the car as red, but pictures from the scene show blue paint transfer. While the agent managing the claim may never know the truth of what happened, a customer’s motive for filing a false claim is usually financial. If the customer recently lost their job or has excessive monthly car payments, that may be their incentive to offload the vehicle. Most claims do not involve fraud, but agents should make themselves aware of the following warning signs.

Unusual Coverage

The age of the customer’s insurance policy can be a telling sign. If the policy is less than a month old or is about to expire, this can call for some additional inquiries on the agent’s part. Another example of an unusual coverage circumstance is if the insured took out an excessive amount of coverage for the age and model of vehicle. An over-insured vehicle can be an indicator of fraud.

Vehicles Burned Beyond Recognition

If a vehicle is a smoldering shell, it warrants further investigation. Many believe setting a vehicle on fire will cover their tracks, but the source of the fire often survives. Other red flags for burnt vehicles include:

  • The vehicle was found empty in an abandoned location
  • Excessive amount of paper was found in the fire remains (i.e. potential insight into how the vehicle was set on fire)
  • The insured was recently fired or is in a financial bind

Phantom Hit-And-Run Incidents

Customers often invent this type of false claim to cover up their own carelessness. If a customer damaged their vehicle by sideswiping a light pole, their rates will likely increase if they file the claim. However, if they say an unidentified vehicle forced them off the road to avoid a car accident, they may be able to avoid a rate increase. While the rules differ from provider to provider, several insurance companies do not increase rates for not-at-fault or uninsured motorist claims. If the customer cannot provide solid details about the other vehicle, the claim may be worth further investigation.
The issue with these fraudulent claims is they increase rates across the board for all motorists. Insurance companies have to pay out a certain amount of money depending on the individual’s insurance plan. The more customers that file false claims, the more funds insurance companies must allocate to them without cause. To learn more about reducing fraud through claims management, contact Actec.

Smart Devices Changing FNOL for Property Claims

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February 2nd, 2017

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smart devicesMajor sales and ecommerce companies have set the bar high when it comes to customer expectations. As a result, more and more insurance companies are investing in mobile options for their clients. Customers now want mobile alerts, email notifications, and mobile apps to access their claim data at any time from any device.
This trend saw a lot of growth within the automobile insurance industry in particular. Customers could report their First Notice of Loss (FNOL) within minutes of an accident. They could also upload images from the accident. Some vehicles can trigger the FNOL process upon impact depending on if they have an OEM system designed to respond to accidents.

Digitization of Property Claims

Property insurance companies are seeing a similar revolution in FNOL. An increasing number of homeowners are investing in smart appliances and devices for their homes. These appliances and devices are capable of monitoring not only the device, but the surrounding area as well. For example, some homes have smart devices designed to prevent flooding. The device can monitor moisture levels in areas prone to leaks and notify both the homeowner and insurance company of a potential loss.

Smart Devices, FNOL, and Data Security

High-tech homes provides a greater level of convenience when it comes to FNOL and the resulting claims process. However, there is one major issue raised by both insurance companies and customers: data security. Sharing data in this manner carries a much higher risk for cyber breaches. While connected homes are in the early stages, insurance companies should expect to see more as cybersecurity evolves to address modern cyber threats.
Regardless of whether a customer or an electronic device triggers FNOL, it is a vital process in the claim cycle. Mismanaged FNOL can damage customer relationships and reduce referrals as a result. To learn more about FNOL, contact Actec.

In Case You Missed It: FMLA & Total Absence Management On-Demand Webinar

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January 20th, 2017

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In this Actec Systems educational webinar subject matter experts John Hearn and Michael Godwin review practical strategies and solutions to logistical challenges in absence management and absence reporting. From administrative retroactive adjustments to compliance inconsistencies and poor clinical handoffs, absence management programs can cause difficulty for even the most organized businesses. Pinpoint your organization’s challenges as we review the following topics:
* Practical absence process vs. compliance details
* Understanding perspectives of various stakeholders
* Identifying and circumventing industry limitations
* Seeing the bigger picture regarding absence management

For a copy of the slides, click here. To learn more about absence reporting, contact us.

Real-Time Absence Reporting for HR Professionals

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January 20th, 2017

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shutterstock_306793247 - CopyHuman Resources (HR) professionals want and need real-time information when it comes to employee absences. In addition to a lack of metrics, there is confusion on how to define the cost of employee absences. Many companies use a combination of the employee’s salary and benefits (including pensions and insurance) to estimate the cost, but the ratio varies. Regardless, absences cost employers money and HR professionals need a simple way to manage absences.
Another issue in absence management is who is in charge. Many companies believe it is a combined effort of HR and managers. However, many managers do not receive adequate training on how to handle employee absences. Both managers and HR professionals need the proper tools to be able to work together to notice patterns and take action in regards to habitual employee absences.
Employers can take some immediate measures to reduce absenteeism and improve employee morale. For example, employers can put employee wellness strategies into place that give employees a paid day off for preventative care appointments. Another option is to implement flexible schedules or allow employees to work from home a certain number of days per week.
However, employers need long-term solutions for absence management. The best way to achieve that goal is with a custom, in-house solution. Actec helps businesses set up absence management systems that simplify the leave process for both HR professionals and employees alike. Some highlights of utilizing Actec include:

  • Ensuring consistent absence management
  • Tracking the regularity and cost of absences
  • Ensuring compliance with Federal and State Laws
  • Boosting productivity by decreasing the frequency/duration of absences

To learn more about improving your absence management strategy, contact us.

New California State Claim Reporting Requirements Beginning January 1, 2017

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January 16th, 2017

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shutterstock_250505056 - CopyThe State of California recently amended the California Workers’ Compensation Uniform Statistical Reporting Plan. As of January 1, 2017 it now requires insured employers to report first aid claims to their claims administrators. This does not apply to self-insured organizations that handle claims in-house.
Common types of workers’ compensation claims include:

  • First Aid Claims, described by the California Labor Code as those involving a single treatment and subsequent observation of a minor injury. This might include antiseptics, bandaging and non-prescription medication.
  • Incident Only Claims are actually not claims at all, but rather documentation of an incident that does not result in any treatment or disability.
  • Indemnity Claims involve exposure to indemnity benefits (temporary or permanent disability).
  • Medical Only Claims involve treatment which exceeds the definition of first aid but does not involve any indemnity exposure. A medical only claim can cover a maximum of 3 days of lost time.

Common practice has been for employers to handle first aid in-house, without documentation. This can save time and have a positive effect on experience mods (and therefore insurance premiums). This change in policy suggests that the State of California now considers these hazards relevant to the overall safety conditions of a workplace. To learn more about how these changes could affect your organization, contact us.
 

Focus on Workplace Health to Positively Impact Employee Absenteeism

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January 11th, 2017

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shutterstock_174875483Employee absences disrupt workflow and can have a negative effect on morale. While chronic absences may have an underlying and preventable cause, some absences are unavoidable. To help reduce the number of absences in the workplace due to illness, employers can implement health and wellness programs. Focusing on keeping employees healthy can help reduce their susceptibility to getting sick. However, setting up a wellness program is not enough. Employers need to measure the success of such programs with reliable metrics.

Implementing a Wellness Program

To measure the program’s success, business owners need to track specific metrics. Most health and wellness programs aim to reduce absenteeism and the accompanying costs. To improve attendance based on metrics, business owners can break absences down by:

  • Department
  • Role
  • Cause

This will allow managers to notice trends and make adjustments where necessary. For example. If team leaders fall ill every year during the busiest season, business owners can dig into metrics to see if those employees are overworked and therefore more likely to fall ill. If the cause of the absenteeism is due to cold and flu season, employers can focus on preventative care instead. Having reliable absence reporting data is vital to reducing absenteeism via a health and wellness program.
Health and wellness programs provide additional benefits for employers as well. Companies that invest in their employees’ well-being often see a more loyal and engaged workforce. This affects overall morale and can improve productivity. However, implementing a successful health and wellness program can be overwhelming. To find ways to improve your employee absenteeism challenges, contact the experts at Actec.