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Arizona
Governor Appoints Brett Jones to SCF Arizona Board
Arizona Gov. Janet Napolitano appointed Brett Jones, of Avondale, Ariz., to a 5-year term on the SCF Arizona Board of Directors.
Jones is currently the vice president of the Arizona Contractors Association, an organization he joined in 1999, after earning a bachelor’s degree in industrial supervision from Indiana State University.
Brett's experience and leadership among workers in an industry so vital to Arizona’s economy makes him a valuable board member," says SCF Board Chair Jim Weeks. "He will bring a fresh perspective on many of the issues we examine, and I am confident he will serve Arizona workers well."
Jones is a member of the Southwest Valley Chamber of Commerce, is involved with the Arizona Chamber of Commerce’s Immigration Policy Committee and has served on the SCF Arizona Association Advisory Committee.
“ I am very proud to be appointed to the SCF Arizona’s Board of Directors,” Jones says. “As a member, I look forward to serving Arizona’s employers and employees, and together we can make Arizona a safe place to work”
SCF Arizona is the state’s largest workers’ compensation insurance carrier, covering more than 57,000 businesses and 70 percent of the market. With offices in Flagstaff, Lake Havasu City, Phoenix, Prescott, Show Low, Tucson and Yuma, SCF is a leading advocate of workplace safety.
SCF, President Honored
SCF Arizona and its President & CEO Don Smith were honored by Parenting Arizona at a May 4 luncheon. Parenting Arizona is an organization that works to strengthen families and to reduce violence toward children through parent education and support. The nonprofit organization operates with the belief that healthy parenting is the cornerstone to a safe and fruitful childhood.
SCF received the award for its contributions and support of the group, as well as its dedication to philanthropic efforts throughout Arizona.

Colorado
- In May 2007, Pinnacol Assurance paid a general dividend totaling $60 million to nearly 56,000 policyholders. The general dividend is a portion of Pinnacol’s surplus paid to policyholders who earn it by maintaining safe workplaces. This is the third consecutive year that we’ve paid a general dividend, which is possible because of our financial health and stability. With this year’s declaration, Pinnacol has now returned more than $172 million in total general dividends to Colorado’s business community.
- More than 140 Pinnacol Assurance employees helped 362 community members access free and low-cost health screenings at Pinnacol’s 9Health Fair in April. E mployees worked alongside 45 community members to staff the fair, which provided more than one volunteer for every two participants. On par with previous attendance, 362 community members received blood pressure, hearing, vision, and cancer screenings as well as counseling on high and low blood sugars, high blood pressure, lung conditions, oral health, and osteoporosis. Additionally, the fair provided attendees the opportunity to speak one-on-one with health professionals.
- To provide educational opportunities for students whose parents have been seriously injured or killed on the job, the Pinnacol Foundation has awarded $180,000 in college scholarships to 59 Colorado students for the 2007-2008 school year. This is the largest number of scholarship recipients since Pinnacol Assurance established the Foundation in 2000.
- Pinnacol Assurance recently announced the following promotions/new hires:
- Mark Andreatta has been promoted to the role of associate vice president. He served previously as a business director.
- Bonnie Cahoon has been promoted from benefits manager to medical operations director.
- Kim Do was promoted to director of medical payment services.
- Robert Erickson was promoted to director of legal services.
- Shelley Johnson was hired as a business director.

Kentucky
KEMI Maintains Excellent Rating by A.M. Best
A. M. Best has once again affirmed its financial strength rating of A- (Excellent) to Kentucky Employers’ Mutual Insurance (KEMI). Additionally, KEMI was assigned a stable outlook and received an issuer credit rating (ICR) of “a-” for its balance sheet strength, operating performance and business profile.
“The ratings reflect KEMI’s improving profitability, solid capitalization, favorable cash flow position and dominant market share of the Kentucky marketplace as a provider of workers’ compensation coverage,” according to A.M. Best.
Roger Fries, KEMI President and CEO, commented, “When choosing a workers’ compensation insurance provider there should be no doubt about its ability to meet obligations today and into the future. At KEMI we are extremely pleased with the confidence A.M. Best has in our financial stability.”
For a link to A.M. Best’s Ratings and Analysis of KEMI, please visit www.kemi.com.
KEMI Receives Award of Excellence from PIAK
Kentucky Employers’ Mutual Insurance (KEMI) has been selected as the 2007 “Company of Excellence” by the Professional Insurance Agents of Kentucky (PIAK).
“This award widely demonstrates the appreciation the agent community has for its partnership with KEMI,” said Joe Cerzosie, President of PIAK. “We are delighted to recognize KEMI for its outstanding service and leadership within Kentucky’s insurance industry.”
Donna Pile, local agent and President of PIA National, was also in attendance for the award presentation at the PIAK Annual Meeting. “KEMI is a recognized leader in strong financial management, innovative technology solutions, and dedication to the principle of creating simple solutions to complex problems,” said Pile.
KEMI Selected as One of Kentucky’s Best Places to Work
For the second year in a row, KEMI was honored to be chosen as one of Kentucky’s Best Places to Work.

Louisiana
LWCC Announces New Vice President of Agency Relations
Louisiana Workers’ Compensation Corporation (LWCC) has announced the hiring of William B. Bangs IV as vice president of agency relations. Bangs joins LWCC from Innovative Risk Management in Irving, Texas, where he was senior vice president and chief operating officer. Prior to that, he was regional underwriting and marketing manager for Texas Mutual Insurance Co., managing its operations for the Dallas region.
A graduate of Columbia College in Columbia, Mo., Bangs received a B.S. degree in business administration. He is a U.S. Navy veteran.
LWCC Names New Director of Internal Audit

LWCC has announced the hiring of David T. White as director of internal audit. White was previously audit unit manager for General Reinsurance’s North America and Australia operations and also held several finance, accounting and audit positions with NYNEX, which is now Verizon Communications.
White earned a B.S. degree in accounting from the New York Institute of Technology and an MBA in accounting from St. John’s University. He holds certifications as an Associate in Reinsurance, Certified Public Accountant, Certified Internal Auditor and Certified Information Systems Auditor.
LWCC Pays $23.2 Million Dividend
LWCC has paid a $23.2 million dividend to qualifying policyholders. The company’s board of directors declared the dividend for the calendar year 2006, and the Louisiana Department of Insurance approved the dividend on April 4, 2007. This is believed to be the largest single dividend ever paid in Louisiana by a workers’ compensation insurer, topping the $19.6 million that LWCC returned to policyholders last year.
More than 20,000 policyholders received a portion of the dividend. LWCC has paid dividends to its policyholders for four consecutive years, totaling $68.8 million.

Maine
MEMIC Earns Support for EPLI Offering
A change to MEMIC's charter which would allow the company to write Employment Practices Liability Insurance (EPLI) has earned the support of the Maine Legislature and Gov. John Baldacci.
In May, Baldacci signed into law LD 840 which supported the company's plan to offer EPLI as an endorsement to the workers' compensation policy. The bill, which takes effect 90 days after the end of the spring legislative session, earned unanimous support of the Maine Legislature's Insurance and Financial Services Committee.
MEMIC submitted the legislation in December, seeing a need in the marketplace for a quality, affordable EPLI coverage, particularly for small employers. In addition, the company saw the coverage as a natural complement to workers' compensation. In testimony before the Legislature, the company stressed the work that its safety and loss control trainers already perform to help customers improve hiring and good employee practices.
A.M. Best “Excellent” Rating Affirmed
Insurance industry analyst A.M. Best has affirmed its “Excellent” ratings for The MEMIC Group and its members, including Maine Employers’ Mutual Insurance Company and MEMIC Indemnity Company. Both MEMIC and The MEMIC Group, which is licensed in 37 states, were given a rating of “A” (Excellent) and subsidiary MEMIC Indemnity Company, based in New Hampshire, received an “A-” (Excellent) rating. This is the eight straight year MEMIC has earned an "A" rating.
NCCI Elects MEMIC President/CEO to 2007 Board of Directors
In May, John T. Leonard was elected to a four-year term on the Board of Directors of the National Council on Compensation Insurance (NCCI). Mr. Leonard previously served on the NCCI Board during the late 1990s, when he also served on the NCCI Executive Committee. Elected to NCCI’s National Workers' Compensation Reinsurance Pool Board of Governors was MEMIC’s Senior Vice President for Underwriting, Donald V. Hale.

Maryland
The Board of Directors of IWIF Workers’ Compensation Insurance (IWIF) announced in April the appointment of Thomas J. Phelan, CPA, to the position of president and chief executive officer. Phelan previously served as IWIF’s executive vice president and chief financial officer.
Mr. Phelan has been employed at IWIF since 1990 and has held the titles of director, internal audits and actuarial analysis; vice president of finance; and EVP and CFO, a title he has held since 2002. Prior to IWIF, he worked for the State of Maryland in the Office of Legislative Audits. He is certified public accountant and a certified fraud examiner.
- IWIF's annual Safety Saves Week, June 17-23, is dedicated to "Workplace Safety for Older Workers." This timely safety and claims management message will be promoted through a special issue of the WithIWIF policyholder newsletter, TV and radio PSAs, web-based information at www.iwif.com and an Employers’ Information Kit.
- IWIF recently expanded its automated underwriting system to included policy renewals carrying estimated premiums of $10,000 or less. Approximately 18,000 renewal policies were included under the program. The automated underwriting system was initiated in June 2006 for about 9,000 new policies, with results prompting expansion of the program to renewal policies.

Minnesota
Bob Lund, New SFM President, CEO
Bob Lund, general counsel and senior vice president of SFM since 1998, succeeds Pat Johnson as president and CEO. Johnson retired recently after 14 years as president/CEO.
“Workers’ compensation is a highly specialized business for those who do it right. SFM has established a tradition of delivering timely, expert and effective service at a competitive price and at a long-term value that is unmatched in the industry. I hope to build on that tradition and to further enhance our relationships and shared resources with our agency partners ,” said Lund, who has been traveling Minnesota and Wisconsin to meet with independent insurance agents that write significant volumes of business with SFM.
Lund has served on AASCIF’s Law and National Issues committees.
Long-Term Value
A performance chart developed for SFM’s 2006 annual report conveys a compelling message about SFM’s long-term value to policyholders.
The chart shows a trend-line representing data for all policyholders that had e-mods of 1.0 or worse at the time they became SFM policyholders. The trend-line improves significantly over time. “The longer the policyholder is with SFM, the greater the improvement,” says the caption in the annual report.
SFM plans to use the chart in other communications to agents and employers.
Four More “Other States”
SFM continues to develop its own “other states coverage” program for Minnesota and Wisconsin employers. In addition to offering coverage for exposures in Iowa and South Dakota, SFM recently added Michigan, Indiana, Arizona and Nevada.
Online reporting increases
SFM—which gives employers online, fax, phone and mail options for reporting injuries—continues to see significant increases in the online option.
Three separate weeks recently reached 72 percent online reporting, a weekly high. Year to date, 70 percent of First Reports have been submitted online.

Montana
Good News for Policyholders
Montana State Fund’s Board of Directors announced an overall average 1% premium rate decrease effective July 1, 2007 for the coming policy year.
“This is positive news and is the first time we have not had to raise rates in six years,” said Laurence Hubbard, president/CEO. “We believe this reflects a joint partnership between MSF and our policyholders to concentrate on safe work environments and the commitment to return injured employees back to work in a timelier manner.”
Dividend Declared
For the ninth consecutive year the MSF Board authorized a $7 million dividend payment to nearly 19,500 policyholders. Since 1999, over $48 million has been returned to deserving policyholders with superior safety records.
Safety Rocks
In April MSF kicked off its Young Workers Safety Rocks campaign. The program was developed in 2006 to educate young workers (ages 16-24) and their employers about workplace safety. This year Safety Rocks is expanding its informational materials to focus on farm and ranch safety. A statewide multi-media promotion includes a website www.safetyrocks.us as well as radio and print ads and billboards. The creative element of the campaign emulates the popular Apple IPod campaign with the messages iSlip, iFlip, iBurn and iCut. These ads direct young workers to go to the site to learn more about workplace safety. There, by answering a few questions, they have a chance to win an iTunes gift cards. A Young Workers safety kit is also available for employers.
Reach for the Sky – AASCIF 2007
MSF staff is gearing up for the AASCIF 2007 conference in Big Sky, Montana, August 5-8. The event will be filled with exhilarating presentations and activities. To register or for agenda details, visit www.aascif.org.

Nova Scotia
Workers’ Compensation Board of Nova Scotia’s CEO receives 2 nd Top 50 CEO honours
For the second year in a row, Nancy MacCready Williams was chosen by Atlantic Business magazine as one of the Top 50 CEOs in Atlantic Canada.
Atlantic Business magazine received over 600 nominations for the list, which has become one of the region’s pre-eminent leadership awards. Each nominee is assessed on their proven managerial abilities, reactions to challenging situations, leadership philosophies, corporate/organizational growth over a three-year period, and commitment to industry and community growth. These are all things we’ve no doubt seen in action and could strongly attest to.
Nancy shares her Top 50 status with some of the region’s most accomplished and financially successful corporate leaders.

Ohio
Senate Insurance, Commerce, and Labor Committee approves Marsha Ryan as Administrator
On April 27, the Ohio Senate Insurance, Commerce, and Labor Committee unanimously concurred with Governor Ted Strickland’s decision to appoint Marsha Ryan as BWC's Administrator/CEO.
“I was honored to have the opportunity to share my vision with the Insurance, Commerce and Labor Committee on how I plan to work with BWC’s staff to provide high-quality workers’ compensation benefits at the lowest possible cost,” Ryan said.
She touched on a number of themes, including restoring integrity, professionalism and efficiency at BWC and assembling a culture of process improvement within the organization.
“A relentless focus on customer service, transparency and alignment of goals throughout the entire organization, and clear performance metrics will reset the culture and permit the many good employees to provide the value that taxpayers have a right to expect,” Ryan said.
BWC also announced in April that premium rates for Ohio employers paying workers’ compensation insurance will remain stable as a result of a recommendation to not increase average premiums for the upcoming fiscal year.
This represents the first time in five years that BWC did not recommend an average rate increase for private-sector employers.
Mercer Oliver Wyman, BWC’s outside actuary, examines a myriad of economic and workers’ compensation trends before providing a premium range to the Administrator. Several factors influenced their recommendation, including the fact that claims have declined significantly over the past decade, including six percent between fiscal year 2005 to fiscal year 2006. Additionally, they noted medical expenses have decreased by $44 million through the first nine months of the current fiscal year.
BWC collected approximately $2.1 billion in premium during fiscal year 2006. Currently, the agency incurs expenses of $0.75 for every dollar it earns or collects.

Oklahoma
Our expectation at CompSource Oklahoma is to provide top-notch customer service to our policyholders, claimants and many other stakeholders. In keeping with that expectation, we have embarked on a journey to replace our legacy computer system which supports policy and claims functions.
CompSource recently contracted with Appix, Inc. to oversee this journey. "Appix was chosen as the vendor to spearhead our system conversion because of their workers' compensation knowledge, IT system market knowledge and experience overseeing other successful system conversions," said project manager and Director of Internal Audit, Dane Johnson.
Appix has been tasked with the responsibility for developing and managing the project plan that will drive our successful system conversion. Working closely with CompSource staff, Appix has begun analyzing and documenting CompSource's business processes and requirements to assist with development of a Request for Proposal (RFP) for a replacement system. Evaluation of single vendor and best-of-breed solutions will take place. Appix will further aid CompSource by
overseeing and ensuring the successful implementation of the new system(s) selected.
CompSource is excited to have begun the process to replace our current legacy system and move toward our goal of utilizing modern technology to better serve our customers.

Ontario
Mask Up! and Live
The devastating, life-changing effects that occupational diseases have on firefighters and their families are the focus of a new training video. Mask Up! and Live features documentary-style interviews with fire fighters, including veterans who are battling cancer and new recruits who are learning the dangers of the job. Both groups emphasize training and the use of personal protective gear – especially masks and self-contained breathing apparatus – as keys to preventing occupational diseases.
Mask Up! and Live was produced by the WSIB, in partnership with the Ontario Professional Fire Fighters Association. To purchase a copy on DVD, please contact Monica Szabo (mszabo@mhsao.com) at the Municipal Health and Safety Association, 905-319-0797.
Work Safe and Win
With its 2007 Young Worker Safety Campaign, the WSIB is helping Ontario youth make the connection between what they gain by having a job, and what they stand to lose if they’re injured on the job.
Using animation and humour, the campaign invites young workers to “Learn about workplace safety and win!” By visiting prevent-it.ca , young people can find out how to stay safe at work and have the chance to win prizes and scholarships.
“Young people may come to prevent-it.ca because they want to win an MP3 player,” says WSIB Chair Steve Mahoney. “But they’ll leave with a better understanding of how to prevent workplace injuries and illnesses this summer, and for the rest of their lives.”
Day of Mourning
A banner, hung from the WSIB’s Toronto head office, marked this year’s National Day of Mourning, April 28, 2007.

Oregon
SAIF named among top places to work in Oregon
SAIF Corporation was once again named to the Oregon Business Magazine 100 Best Companies to Work for in Oregon list. The 2007 competition drew a record number of entrants: a total of 342 businesses, nonprofits, and government agencies competed for a spot on the list.
The rankings of the top 100 companies were often determined by fractions of points. SAIF ranked 48 th, less than one point lower than several well-known Oregon businesses including Beaverton-based Nike.
Company rankings were based on answers to a company benefits survey and a confidential employee satisfaction survey. The employee survey addressed benefits and compensation, work environment, decision-making and trust, performance management, and career development and learning.
Online changes offer additional convenience for SAIF policyholders
All SAIF policyholders now have the option to submit payroll reports and pay premium online through SAIF’s convenient Business Online system. Additional Business Online benefits include:
- Policyholders no longer have to manually calculate premium—the system will automatically calculate it when a payroll report is filed.
- Online payments may be authorized at any time day or night, including holidays and weekends, using SAIF's convenient one-time payment option. Payments received before 6:30 will be credited to the policy that day.
- Policyholders can verify their account balance at any time.
- Premium and security deposits can be paid online, including quote payments for new business.
SAIF releases 2007 annual report
The 2006 SAIF Corporation annual report was recently delivered to the Oregon legislature and to the governor as required by statute. In addition to reporting on 2006 activities, the report ties together SAIF's past, present, and vision for the future to tell a story of where the company has been and where it is headed. The report may be viewed online at saif.com.

Pennsylvania
SWIF Pharmacy Program
The Pennsylvania State Workers’ Insurance Fund (SWIF) recently teamed up with the Department of Aging to provide PACE as a pharmaceutical provider. Shortly after, SWIF began recognizing PACE participating pharmacies as suppliers of prescription drugs and supplies to SWIF claimants.
Now SWIF insured injured workers can obtain prescriptions from a PACE participating pharmacies quickly and efficiently by using SWIF’s new online Pharmacy Locator. Simply enter the SWIF website at www.dli.state.pa.us/swif and benefit from this new, convenient feature that gives both policyholders and claimants the ability to locate the ten nearest pharmacies that participate in the PACE program. The Pharmacy Locator speeds up processing prescription needs that are related to SWIF’s workers’ compensation claims.
SWIF claimants and insureds were notified of this innovative program though various mailings, which publicized the usefulness of the Pharmacy Locator and explained how to use it. The successful advertising plan made the idea of using the Internet to find PACE participating pharmacies easily understood by SWIF insured injured workers. This program is a continuing success and a fine example of two Pennsylvania Agencies working together for the benefit of the Commonwealth’s employees.

Saskatchewan
Saskatchewan WCB Posts $18.89 Million Operating Surplus
Stakeholders attending the Saskatchewan Workers’ Compensation Board’s 2007 Annual General Meetings were told that a continuing decrease in workplace injuries and an increase in employer premiums contributed to the WCB’s third consecutive operating surplus. It was the WCB’s third consecutive surplus and will be applied to the WCB’s Injury Fund and Economic Stabilization Fund.
WCB Chairman John Solomon praised Saskatchewan’s employers and workers for their cooperation and effort in meeting the Board’s strategic goal to reduce the workplace injury rate. The rate fell to 4.05 per cent in 2006, nearly one full year ahead of the WCB’s target of 4 per cent for the end of 2007. The WCB’s strategic goal is to reduce the rate to 3.5 per cent by the end of 2010.
Part of the WCB’s strategy is a partnership with the provincial Department of Labour in WorkSafe Saskatchewan, a social marketing and injury prevention strategy. The WCB is also a founding partner in Safe Saskatchewan, a public and private sector coalition whose goal is the reduction of all preventable injuries.
The WCB will continue its focus on reducing and eliminating workplace injuries and the financial and human toll they cause. According to Peter Federko, the WCB’s CEO, this is the single greatest opportunity to positively impact all the stakeholders in the province’s compensation system.
The Saskatchewan WCB was the first in Canada to hold annual general meetings. The first annual general meeting was held in 1995.

Utah
In March, Workers Compensation Fund announced several promotions within the company’s leadership.
Ray Pickup was named executive vice president and chief operating officer of WCF. Pickup has been with WCF for 14 years and most recently served as senior vice president and chief financial officer. He will oversee the operations of WCF’s various departments and will work directly with five of the Company's senior vice presidents. Dennis Lloyd, WCF Sr VP and chief legal officer, will still report to WCF CEO and President, Lane Summerhays.
WCF also made the following promotions: Debi Mofford to senior vice president of information technology; Scott Westra to senior vice president of finance; and Mike Willard to vice president of finance.
“We are privileged to work with such an outstanding team of leaders who are dedicated to Workers Compensation Fund’s primary goal: protecting Utah employers and employees with integrity, expertise and compassion,” said Lane A. Summerhays, WCF president and CEO. “We look forward to the continued contribution each of these individuals will make in improving workers’ compensation services to the owners of this company—WCF’s policyholders.”

West Virginia
BrickStreet has funded a Safety Scholarship program with Marshall University’s College of Information Technology and Engineering. This scholarship can be used at either the undergraduate or graduate school levels and includes a paid internship with BrickStreet. Marshall’s College of Information Technology and Engineering offers both undergraduate and graduate degrees in safety. Marshall’s Bachelor of Science degree in Safety Technology prepares students for entry-level positions in industry, government and related service industries. Their graduate program in Safety allows students to select an emphasis in Ergonomics, Industrial Hygiene, Occupational Health, Safety Management or Mine Safety. Their Mine Safety program is offered in cooperation with the National Mine Safety and Health Academy and is designed for underground and surface mining, and is applicable to all aspects of the metallic and non-metallic mining industry.
Jeff Benintendi, formally of Pinnacol Assurance, has joined BrickStreet as Senior Vice President. He will oversee a strategic business group that includes business teams responsible for coal, government and large accounts. Multifunctional work teams assigned to those areas include underwriters, safety and loss control specialists, premium auditors, claims and specialty adjusters, nurse case managers, return-to-work specialists and customer service representatives.
Four new underwriters have been added to BrickStreet’s Underwriting Unit. David Persinger, Michael Shafer, Sara Telisko and Charles T. Waugh have completed BrickStreet’s internal training program and have been assigned to business teams. Three new underwriting trainees have

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