Why'd My Mod Go Up?

Home Page Forums The Experience Mod Why'd My Mod Go Up?

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      Kevin Ring
      Participant

      It's that time again!

      Time for employers who renew on 1/1 to be getting their final experience mods that will impact their pricing on renewal.

      Every year, we get several different versions of the same question: "I have an employer who has no injuries, but their experience mod went up. Why?"

      When you run into an employer who is at their minimum mod (that's where they are at if they have no injuries on their mod) and it's gone up, grab the worksheet for each year and look at a few things:

      1) Did the ELR (Expected Loss Rate) go down in the most recent year?
      2) Is the payroll in the new year on the mod lower than the payroll for the year that fell off the mod?

      In either of these cases, the expected losses on the mod will be lower, which can cause the minimum mod to rise. This happens in some form or fashion to every mod, every year. However, unless you are at your minimum you're unlikely to notice a 1-2 point different in your minimum mod.

      Give us a shout any time we can help untangle the mysteries of the mod!

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