In an effort to help alleviate the shortage of affordable workers’ compensation insurance for California’s sizable health care industry workforce, Compensation Risk Managers (CRM) has begun offering coverage to health care workers through a new program called Healthcare Industry Self Insurance Program of California (HISIP).
HISIP was designed to serve employees of nursing homes, hospitals and other related healthcare facilities and institutions throughout California. The program is expected to save employers as much as 20-40 percent compared with current state fund rates.
A group self-insurance program, HISIP was created by CRM to help keep the rising costs of workers’ compensation insurance under control for California health care workers without sacrificing safety and claims services.
HISIP was created with the participation of two core members that have contributed a total of $3,325,028 in written premiums to help launch the program and provide workers’ compensation insurance for the 1,087 workers they collectively employ.
“With the rising costs of both workers’ compensation insurance and health care greatly contributing to California’s financial problems, we believe CRM’s new HISIP program will impact the bottom line for each of these industries,” said Martin D. Rakoff, CEO of CRM. “CRM has already been successful at attracting customers in many other industries through innovative and prudent underwriting guidelines, cost savings products and the superior risk management of its group self-insurance programs.”
HISIP has contracted with Health Care Facilities of America (HCFA) to act as a field consultant for the program by providing sales and marketing services. HCFA is a privately held workers’ compensation brokerage and risk-management firm that has been committed to researching and developing products that serve the needs of healthcare clients since 1998. The firm maintains offices in Rancho Cucamonga, Calif.
With regional offices in Irvine, Calif., CRM maintains a fully staffed Loss-Control department with certified safety professionals that offer support to program members. CRM offers group self-funded workers compensation programs for most major industry sectors – including health care workers – through 12 separate programs or trusts in New York and California.
Earlier this year, CRM reported results that show gross written premiums of $125 million, representing an increase of 27 percent from the previous year.
CRM’s conservative approach to risk management has enabled the company to forge partnerships with industry-renowned insurance underwriters, such as AIG, New York Marine and General Insurance Company and Clarendon National Insurance Company. More information about CRM is available at: www.trustcrm.com.