Read the Reports:

Staff Report

Self-Insurers and Solvency in California: Bickmore (PDF)

• Lien reform—I expect an entirely different claims environment in Southern California in the next few years. As the current liens are resolved and lien claimants are saddled with a statute of limitations and a filing fee, the number of liens filed in future years should decrease dramatically.

• Independent Medical Review (IMR)—WCAB judges will no longer be required to resolve medical treatment disputes. It remains to be seen exactly how smoothly this process will go but there should eventually be benefit to all parties in having medical disputes resolved by medical experts.

• Independent Bill Review (IBR)—This combines elements of IMR and lien reform. WCAB judges will no longer be required to resolve billing disputes and providers will be required to pay a fee to obtain an IBR so the frequency of billing disputes that require formal intervention should decrease.

It is expected that these three provisions will transform the current system by reducing the administrative burden on WCAB judges. Consequently, judges will spend less time adjudicating liens and no time addressing medical treatment and billing disputes, allowing them to focus their efforts on injured workers and their claims. It’s my hope the system will be more equipped than ever to serve the needs of injured workers and their employers.

• Adoption of the 2012/13 Budget

• The EWC Program renewal was finalized

         o The $875k xs $125k layer is being moved to AmTrust and will be an aggregate stop loss structure instead of a quota share arrangement

         o The $4M xs $1M layer renewal was finalized with an increase in the Corridor Retention rather than in premium

         o The $45M xs $5M and Statutory xs $50M layer renewals were previously approved

• The Board was updated on the status of the GLI Program Renewal, but no action was taken because the renewal was approved by the Board in March with no premium increase

• Amendments to the EWC and GLI Memorandums of Coverage were approved effective 7/1/12

• Amendments to the Liability Claims Administration Guidelines (often referred to as Addendum B) were approved

• There was a lot of discussion about exposure and coverage for the operations responsible for winding down the former redevelopment agencies. Authority has been delegated to the Underwriting and Executive Committees to determine if any coverage endorsements should be issued to provide clarity and reduce uncertainty for our members

• The Loss Prevention and Risk Management Subsides will be combined into one subsidy fund to improve administration for the members in the coming fiscal year

Amendments to the EWC Memorandum of Coverage was approved effective 7/1/12

Amendments to the GLI Memorandum of Coverage was approved effective 7/1/12 

Amendments to the Liability Claims Administration Guidelines (often referred to as Addendum B) were approved

Please see either the EIA Documents page on the website or the links above for more information.

By creating a workstation with the ability to be ergonomically adjusted for each worker, you are in effect decreasing the likelihood of office related repetitive stress injuries and musculoskeletal disorders such as carpal tunnel syndrome or tendonitis. Properly adjusted workstations also reduce fatigue and increase worker efficiency—avoiding workers’ compensation claims in the process.

A mantra of many ergonomic specialists is “fit the job to the person.” Creating an ergonomically efficient workstation involves adjusting chairs, keyboards, mice, computer monitors, phones and other office equipment to the specific needs of each person.

Office Ergonomic Basics

Chair
• Easily Adjustable
• Feet can sit comfortably on the floor
• Lumbar support of chair fits the curve of the back
• Armrests adjusted so elbows are at 90 degrees and don’t interfere with typing, mousing or writing surfaces

Keyboard
• Slightly below elbows
• Front slightly higher than the back (at a negative incline)
• Shoulders relaxed
• Wrists straight while typing

Mouse
• Near to and same level as keyboard
• Avoid overreaching
• Keep shoulders relaxed

Monitor
• Keep at height equal or just slightly lower than eye height when sitting in properly adjusted chair
• Keep free of glare with glare screen or by keeping at 90 degree angle to light sources

Phones
• Keep within reach to avoid overreaching
• Use a hands-free headset if possible

Tips for Work Improvement from the Calif. Department of Industrial Relations

• Take micro-breaks from repetitious activities or static postures every 30 minutes for one or two minutes before resuming that activity or posture. Find opportunities to get out of your chair and move around.

• Place the telephone on your non-dominant hand side. Your dominant hand will be free for writing, and cradling the telephone between your ear and shoulder while writing will not be necessary.

• Use a telephone headset or the speaker when performing tasks simultaneously with the telephone. This practice will prevent awkward neck and shoulder postures associated with cradling the telephone between your ear and shoulder.

• Type with the tips of the fingers. Less force is needed to depress the keys with the tips of the fingers. Use a light touch when keying.

• Change postures frequently throughout the day. Alternate working from a sitting to a standing position whenever possible. Change the tilt of the back of the chair frequently.

• Use shortcut keys whenever possible, instead of a pointing device (mouse, trackball, etc.).

• Alternate hands when using the pointing device, OR alternate between pointing devices (e.g. alternate between mouse and trackball). Use larger muscles by moving from the elbow and shoulder, rather than from the wrist, when operating the pointing device.

• Stand up to reach into overhead bins rather than reaching up from a sitting position, OR lower the overhead storage bins if possible.

From Easy Ergonomics For Desktop Computer Users, California DIR

For more information on improving your offices’ ergonomics, check out the EIA Loss Prevention Office Ergonomics information sheet, or sign-up for the Office Ergonomics: Loss Prevention Training Seminar in April.

All comments are due by May 11, 2012.

Complete Details

Workers’ Compensation

The structure of the Primary WC Program will remain the same.  The Pool covers the first $10k of each loss and CastlePoint covers the next $115k.

The Excess WC Program will continue to provide statutory coverage, with CastlePoint, Wesco/Am Trust, ACE American, and Chartis participating in the purchased coverage. Wesco is a new partner this year, reinsuring the $4M xs $1M layer that was previously pooled.  The EIA will retain the first $3.5M of losses that fall into the $4M xs $1M layer.

General Liability

The Primary GL Program will continue with the same structure.  ACE American provides coverage for $90k xs of the member’s $10k deductible.

The layers and carriers on the GLI Program will be different.  The Pool will continue to provide coverage up to $5M (subject to the member’s SIR), Ironshore Indemnity will provide the next $10M, and a new partner, Starr Indemnity will provide $10M xs $15M.

The GLII Program also has some changes in carriers and layers.  AmTrust will provide the difference between the member’s SIR and $10M, then Ironshore will provide $15M xs $10M.  There will be no retained risk.

The EIA’s Optional Excess Liability Program will be provided through Alliant’s CLIP Program, with coverage provided by Lexington.  Members can choose to bind either $10M or $25M of the GLI or GLII Programs.

EIAHealth

The EIAHealth Committee approved the renewal terms for the EIAHealth Program which will go into effect in 2012.

The PPO will have an overall increase of 6%, the HMO an overall increase of 10%.

Individual member renewals will vary based upon their experience within the Pool.

$7.0M at 7/1/12

$6.5M at 7/1/13

$5.5M at 7/1/14

$7.0M at 7/1/12

$6.5M at 7/1/13

$5.5M at 7/1/14