Reducing Workers’ Compensation Claims and Costs Through a Risk Control Plan

Case Study

The Request

Reduce injuries and costs due to workers’ compensation claims

Company Profile
Industry: Hospitality
Employees: 300,000
Locations: 100 countries, including the U.S.

Brown & Brown is the broker for one of the world’s largest hotel and resort management companies. The company requested that our Risk Control team help reduce the frequency of colleague injuries and, ultimately, the costs at select hotels that had historically driven their workers’ compensation losses.

The Solution

Developed a Risk Control Plan that included instituting several programs and committees

The primary safety focus was on the housekeeping departments, specifically reducing injuries to room attendants. Historically, the majority of workers’ compensation claims for the hotel and hospitality industry and the customer come from room attendants while cleaning guest rooms.

Our team helped develop Risk Control Service Plans for each hotel within the program and correlated these plans directly to proactive safety activities. These components were achieved by assisting and working with the hotels in instituting and/or enhancing the following:

  • Colleague Safety Education and Training
  • Colleague Safety Observations
  • Safety Committee Effectiveness
  • Departmental Safety Inspections
  • Colleague Incident Investigation and Corrective Actions
  • Pre-Shift Warmups

The Results

62%+ reduction in claims frequency and 31%+ reduction in average cost

As a result, the hotels that consistently embraced the various aspects of the program by location management and colleagues showed the following results not only in housekeeping but in other departments as well:

  • Reduction of colleague injury frequency and costs
  • Compliance with OSHA regulatory standards
  • Enhanced relations between hotel staff and management from more frequent interactions
  • Improved quality experience and satisfaction scores from hotel guests
  • Improved colleague satisfaction scores

Two of the hotels within the program consistently made a point to embrace the colleague safety activities at both the management and colleague levels and showed dramatic improvements in the financial impact of their workers’ compensation claims and frequency reductions in most cases.

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DISCLAIMER: Brown & Brown, Inc. and all its affiliates, do not provide legal, regulatory or tax guidance, or advice. If legal advice counsel or representation is needed, the services of a legal professional should be sought. The information in this document is intended to provide a general overview of the topics and services contained herein. Brown & Brown, Inc. and all its affiliates, make no representation or warranty as to the accuracy or completeness of the document and undertakes no obligation to update or revise the document based upon new information or future changes.

DISCLAIMER: Brown & Brown, Inc. and all its affiliates, do not provide legal, regulatory or tax guidance, or advice. If legal advice counsel or representation is needed, the services of a legal professional should be sought. The information in this document is intended to provide a general overview of the topics and services contained herein. Brown & Brown, Inc. and all its affiliates, make no representation or warranty as to the accuracy or completeness of the document and undertakes no obligation to update or revise the document based upon new information or future changes.