This article illustrates the importance and complexity involved in making sure a company’s workers compensation experience mod is calculated correctly.
Quick Mr/Mrs/Ms Businessowner! What does the following formula mean to you?
M = AC+E(LC)+E(1.00-C) / E
No. It has nothing to do with Einstein’s famous equation. However, it could mean the difference between a fat bottom line or permanently hanging up the “closed” sign. Give up yet? It’s the calculation that determines your workers compensation experience modifier (mod). You know, the number that can save you or cost you thousands on your workers comp premium.