Our broker informed me that we can save money by increasing our self-insured retention. What is required for a retention increase?

Prior to requesting a retention increase, realize you are putting yourself at more risk, in the event a serious accident occurs. Where you may be saving in premiums now, when a serious accident occurs, you may be putting out more money to cover the injury. Also, you may be required to post additional security due to the retention increase. If you wish to request a retention increase, the following will need to be submitted to the Division for review:
  • A formal increase request from the self-insured employer with a specified self-insured retention amount;
  • A current detailed loss run starting with the first year of self-insurance authority until present;
  • The most recent two years audited financial statements;
  • Copy of the most recent Table 1 or a listing of class codes and yearly payroll for each class code; and
  • Current Missouri Only Experience Mod.

Workers' Compensation - Insurance

  1. What is workers′ compensation insurance?
  2. Does an employer have to carry workers′ compensation insurance?
  3. What are the penalties under the new law for workers′ compensation fraud?
  4. How do I obtain coverage?
  5. How is workers′ compensation insurance priced?
  6. What is the period of Limitations to file a claim for compensation with the Division?
  7. When do insurers and third-party administrators have to report an injury to the Division?
  8. If I am a self-insurer, do I need a third-party administrator?
  9. Do I need to notify the Division of changes to my self-insurance program?
  10. I am an employer with multiple subsidiaries. Would my subsidiaries be covered under the same self-insurance authority as the parent company?
  11. How long does it take for an application to be processed? My policy expires soon and I want to be self-insured by the time it is renewed.
  12. The parent company and several subsidiaries are already self-insured. Do I need to resubmit the same data, such as the Third Party Administrator agreement, that applies to all the other entities? Will the application still take that long?
  13. What are the on-site safety audits?
  14. How much security is required to be posted? How is this amount calculated?
  15. Due to a corporate restructure, our current self-insured entity was merged out of existence, and a new entity was created. Will the new entity need to apply for self-insurance? Since the new entity has the same employees, can we transfer the security from the old self-insured entity to the new one? My broker does not have any problems with this.
  16. How do I get my security reduced?
  17. How do I get my security released?
  18. What forms of security are acceptable? What are the requirements for each?
  19. I keep getting a notice that my Excess Insurance Certificate is unacceptable. What is the Division looking for on the certificate?
  20. Our broker informed me that we can save money by increasing our self-insured retention. What is required for a retention increase?
  21. Our company has changed names/was bought out by another company? What do we need to submit to the Division?
  22. Does an individual self-insured employer incur any surcharges or taxes?
  23. What should I do if I wish to terminate my self-insurance authority?
  24. What is the excess insurance policy limit requirement?
  25. Are self-insured employers and groups allowed to handle their claims differently or pay different benefits than insurance carriers?
  26. My employer is self-insured. My weekly check is always late. What can I do?
  27. Is there a Guarantee Fund for groups?
  28. Who sets the premium amount for my group?
  29. What if my employer is no longer in business?
  30. What if my employer is no longer a member of the group?
  31. What if the group that my employer belonged to is no longer in business?

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