2016 Teddy Award Winner

The Road to Success

Accountability and collaboration turned Hampton Roads Transit’s legacy workers’ compensation program into a triumph.
By: | November 2, 2016 • 5 min read
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In four years, Hampton Roads Transit transformed a legacy workers’ compensation program that was costly and ineffective into a phenomenal success.

From 2011 to 2015, HRT saw a 98 percent decrease in lost-time claims frequency, 94 percent decrease in average number of days lost per lost-time claim, 48 percent decrease in frequency of injuries and 78 percent decrease in total incurred costs per claim.

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Its savings from the total amount billed in 2015 alone was 40 percent lower than the prior year, while the average claims reporting time was reduced to 3.7 days, compared to 5.7 days in 2014.

Under the leadership of Kimberly Ackerman, chief human resources officer, and Danielle Hill, human resources compliance manager, the public transportation agency took a program that did not track claims or spending and created a collaborative organization that has achieved impressive results.

“Accountability. Teamwork. Customer Service.” Those are the hallmarks of the program, Hill said.

“The biggest goal for us,” adds Ackerman, “was to be collaborative, to have a high degree of accountability and to have managers and employees alike understand and embrace the program.”

She praised Hill for leading the effort.

Kimberly Ackerman, chief human resources officer, Hampton Roads Transit

Kimberly Ackerman, chief human resources officer, Hampton Roads Transit

“She has brought a fresh new perspective to the program, innovative strategies and a high degree of collaboration with employees and managers,” Ackerman said.

The transformation began with a formal review of HRT’s past program. Hill said the 1,000-employee transit agency “never tracked anything. We never knew how much money was spent.”

In 2012, Hampton Roads Transit brought in new management to regain public confidence in its operation of 56 bus routes and 11 light rail lines in southeast Virginia. In furtherance of that mission, HRT partnered with PMA Management Corp. to help contain costs for the self-insured workers’ compensation program.

“What they wanted to do was get a grip on the claims they had and change the culture around the workers’ compensation program,” said Brad Wilson, account executive for PMA, the third-party administrator.

A review discovered that workers’ comp claims costs had nearly doubled each year during the prior three years. The average number of days lost per lost-time claim in 2011 was 207, which created logistical nightmares for the regional transit organization. (It was 12 in 2015.)

All Working Toward the Same Goal

Once HRT had a handle on its past experience, the biggest challenge was “making sure we are all working toward the same goal,” Hill said. “Getting everybody on the same page is really hard to do. I think our biggest goal when we took over was our customer service. Making sure staff understood that our employees are actually our customers.”

HRT wanted to make it easier for employees to file workers’ comp claims. They wanted to decrease claims. They wanted to keep their workers healthy and safe. The key was creating a 360-degree employee safety and training program.

It’s the heart of HRT’s loss control strategies.

“Everybody respects the program. We are all on the same side, working on the same goal.” — Danielle Hill, human resources compliance manager, Hampton Roads Transit

Bus drivers are enrolled in an 8-week training class that includes classroom and simulation exercises, as well as test runs.

Employee orientation sessions train employees on what to do if they are injured, how to report an injury and how to prevent injuries. There are regular safety talks and post-accident safety training for drivers and maintenance workers.

The 360-degree program also includes intranet-based safety training, annual refresher training, annual safety awards and wellness programs for employees. The HR department is currently working with physical therapists on their workers’ compensation panel to create posters and safety videos to display in drivers’ lounges.

The program has a multi-tier safety structure that starts with monthly safety committee meetings that include at least one bus driver representative to address safety issues. When injuries occur, the committee members discuss how HRT could have prevented the incident.

Hill said the team regularly inspects the facilities and equipment.

An upper level operational safety and security committee deals with issues that can’t be addressed at the lower level, and a senior executive team targets strategic issues.

On a quarterly basis, HRT reviews the top five injuries for the prior three months and develops training sessions if it sees any recurring problems.

Changing the culture from one with little accountability and few formalized processes was a challenge.

Danielle Hill, human resources compliance manager, Hampton Roads Transit

Danielle Hill, human resources compliance manager, Hampton Roads Transit

“The hardest thing,” Hill said, “was getting people to think this is a job we will be providing for employees, and making sure staff understood that even if the employee filed 10 claims previously, they were to treat it like their first claim.”

HRT’s loss control program also includes investigation of all injuries, aided by state-of-the-art video cameras inside and outside all buses. Supervisors take statements by the end of the employee’s shift, and travel to the accident scene to take photos.

Safety training also blends into HRT’s return-to-work program, which saw decreased lost-time claims from 53 in 2011 to just 1 in 2015. The agency’s total incurred costs per claim decreased from $17,036 to $3,780.

Light Duty Works

Its light-duty program is one of the keys to the overall program’s success.

“That’s been really great,” Hill said. “I think when managers thought ‘light duty,’ they didn’t understand what it meant. I told them, ‘You can have somebody on workers’ comp do administrative work for you.’

“It helps us to get injured workers into a job they can do and it helps that department fulfill a need that otherwise they might have to pay overtime to complete.”

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Every October, the agency invites its workers’ compensation team to an open house to review the light-duty program and gain a greater understanding of HRT’s job requirements, including an update on job descriptions for light duty.

The event includes a tour of the facilities and operations, and bus rides for a close-up look at the work employees perform.

“That is integral,” said Wilson of PMA. It gives the doctors an accurate view of employee tasks and movements so they can better understand injuries, he said.

Wellness programs are also a key part of the initiative. To prevent injuries from occurring, HRT hosts three health fairs a year, with nutritionist consultations and biometric testing. HRT also is working with physical therapists to provide stretching exercises drivers can do while on the bus as well as exercises for before and after work.

“The best thing is we are all together and on the same page,” Hill said. “Everybody respects the program. We are all on the same side, working on the same goal.” &

_______________________________________________________

Read more about the 2016 Teddy Award winners:

target-150x150Bringing Focus to Broad Challenges: Target brings home a 2016 Teddy Award for serving as an advocate for its workers, pre- and post-injury, across each of its many operations.

 

hrt-150x150The Road to Success: Accountability and collaboration turned Hampton Roads Transit’s legacy workers’ compensation program into a triumph.

 

excela-150x150Improve the Well-Being of Every Life: Excela Health changed the way it treated injuries and took a proactive approach to safety, drastically reducing workers’ comp claims and costs.

 

harder-150x150The Family That’s Safe Together: An unwavering commitment to zero lost time is just one way that Harder Mechanical Contractors protects the lives and livelihoods of its workers.


More coverage of the 2016 Teddy Awards:

Recognizing Excellence: The judges of the 2016 Teddy Awards reflect on what they learned, and on the value of awards programs in the workers’ comp space.

Fit for Duty: 2013 Teddy Winner Miami-Dade County Public Schools is managing comorbid risk factors by getting employees excited about healthy living.

Saving Time and Money: Applying Lean Six Sigma to its workers’ comp processes earned Atlantic Health a Teddy Award Honorable Mention.

Caring for the Caregivers: Adventist Health Central Valley Network is achieving stellar results by targeting its toughest challenges.

Advocating for Injured Workers: By helping employees navigate through the workers’ comp system, Cottage Health decreased lost work days by 80 percent.

A Matter of Trust: St. Luke’s workers’ comp program is built upon relationships and a commitment to care for those who care for patients.

Keeping the Results Flowing: R&I recognizes the Metropolitan Water Reclamation District of Greater Chicago for a commonsense approach that’s netting continuous improvement.

Anne Freedman is managing editor of Risk & Insurance. She can be reached at [email protected]
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2016 Teddy Awards: Honorable Mention

Keeping the Results Flowing

The Metropolitan Water Reclamation District of Greater Chicago succeeds with a commonsense approach.
By: | November 2, 2016 • 3 min read
metro-water

The mission of the Metropolitan Water Reclamation District of Greater Chicago (MWRD) is to protect the health and safety of citizens and of area waterways throughout Cook County, Illinois. In order to do that, the agency must first protect the health and safety of its nearly 2,000 employees.

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The MWRD serves the City of Chicago and 125 suburban communities. It operates one of the largest wastewater treatment facilities in the world, in addition to six other plants and 23 pumping stations that provide treatment for residential and industrial wastewater.

The MWRD is also responsible for stormwater management. In fact, the MWRD’s Tunnel and Reservoir Plan (TARP) is one of the country’s largest public works projects for pollution and flood control. TARP’s four tunnel systems total 109 miles of tunnels, 9 to 33 feet in diameter and 150 to 300 feet underground. Two reservoirs are in operation, and construction is in progress on the third and final reservoir.

With the absolute goal of sending all workers home safely at the end of the workday, the MWRD has invested a great amount of time assessing the risks its workers face and how to best address them. Most of the facilities are heavy industrial environments, and many of the jobs require substantial physical labor.

Job duties vary significantly, from trade specific roles to those of general laborers, whose tasks are often driven by the immediate needs of the day. Adding to the dynamic is that employees tend to stay with the MWRD for a long time; the average age of the workforce is over 50.

The MWRD’s robust eLearning program incorporates 200 trades-based and industry-based courses, in addition to offering general business and computer training.

The MWRD has implemented a variety of loss control strategies to reduce both the number and the severity of injuries on the job. For instance, the MWRD now provides dipolar (bifocal) safety glasses with 2x and 3x magnification for tradespeople who are doing close up work in order to accommodate changes in eyesight.

Additional chain falls were added so pipefitters would not have to bend over to lift lengths of pipe. Mechanized turntables for garbage dumpsters have been added to minimize manual raking and poor ergonomics. A strong emphasis is placed on using two-person lifts, and extra carts were provided for moving tools from place to place. These initiatives reduce the likelihood and impact of strains and back injuries.

Given the importance of back safety, the MWRD engages outside experts bi-annually to deliver dozens of back safety and body mechanics classes. In-house safety staff conduct training as well. In 2015 alone, MWRD safety staff conducted 498 training sessions for 7,122 employees on 53 different topics, prioritizing key activities and key areas of injury.

eLearning Central

The MWRD also strengthened its return-to-work program to ensure injured workers remain engaged throughout their recovery process and return to employment as soon as they can do so safely. Many jobs at the MWRD are highly physical, so light duty options are not always available or appropriate.

A transitional duty option – eLearning – was incorporated to accommodate medical releases to sedentary duty. The MWRD’s robust eLearning program incorporates 200 trades-based and industry-based courses, in addition to offering general business and computer training. eLearning is now a central component in the MWRD’s return-to-work strategy.

The MWRD’s approach to medical management is holistic. A number of steps have been taken to mitigate the cost and impact of injuries. Local clinics are designated for each plant and are briefed on MWRD jobs and protocols as well as the return-to-work program.

At the largest plant, the MWRD contracts with a physical therapy provider who treats injured workers on-site so employees do not need to leave the premises. The medical case management system uses outside nurse case managers to work with the injured worker, our third party claims administrator, and doctors to assure that the injured worker is receiving appropriate treatment on a timely basis.

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With a 360-degree focus encompassing injury prevention, return-to-work, and medical case management, the MWRD has experienced dramatic reductions in costs per claim, medical costs, and the number of lost time claims. As of October, the MWRD recorded 67 claims for 2016, a remarkable drop from the 150 recorded just five years ago for full year 2011.

“This has truly been a collaborative effort and has resulted in a cultural change around workers’ compensation within our organization,” said Ruth Joplin, MWRD Risk Manager. “Throughout the process, management support and supervisor engagement has been key. We are amazed and gratified to see what has been accomplished in such a short time.”

Risk & Insurance® is pleased to recognize the Metropolitan Water Reclamation District of Greater Chicago with a Teddy Award Honorable Mention. &

_______________________________________________________

Read more about the 2016 Teddy Award winners:

target-150x150Bringing Focus to Broad Challenges: Target brings home a 2016 Teddy Award for serving as an advocate for its workers, pre- and post-injury, across each of its many operations.

 

hrt-150x150The Road to Success: Accountability and collaboration turned Hampton Roads Transit’s legacy workers’ compensation program into a triumph.

 

excela-150x150Improve the Well-Being of Every Life: Excela Health changed the way it treated injuries and took a proactive approach to safety, drastically reducing workers’ comp claims and costs.

 

harder-150x150The Family That’s Safe Together: An unwavering commitment to zero lost time is just one way that Harder Mechanical Contractors protects the lives and livelihoods of its workers.

 

More coverage of the 2016 Teddy Awards:

Recognizing Excellence: The judges of the 2016 Teddy Awards reflect on what they learned, and on the value of awards programs in the workers’ comp space.

Fit for Duty: 2013 Teddy Winner Miami-Dade County Public Schools is managing comorbid risk factors by getting employees excited about healthy living.

Saving Time and Money: Applying Lean Six Sigma to its workers’ comp processes earned Atlantic Health a Teddy Award Honorable Mention.

Caring for the Caregivers: Adventist Health Central Valley Network is achieving stellar results by targeting its toughest challenges.

Advocating for Injured Workers: By helping employees navigate through the workers’ comp system, Cottage Health decreased lost work days by 80 percent.

A Matter of Trust: St. Luke’s workers’ comp program is built upon relationships and a commitment to care for those who care for patients.

Keeping the Results Flowing: R&I recognizes the Metropolitan Water Reclamation District of Greater Chicago for a commonsense approach that’s netting continuous improvement.

Michelle Kerr is associate editor of Risk & Insurance. She can be reached at [email protected]
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Sponsored Content by Nationwide

Hot Hacks That Leave You Cold

Cyber risk managers look at the latest in breaches and the future of cyber liability.
By: | December 1, 2016 • 5 min read

Nationwide_SponsoredContent_1016Thousands of dollars lost at the blink of an eye, and systems shut down for weeks. It might sound like something out of a movie, but it’s becoming more and more of a reality thanks to modern hackers. As technology evolves and becomes more sophisticated, so do the occurrence of cyber breaches.

“The more we rely on technology, the more everything becomes interconnected,” said Jackie Lee, associate vice president, Cyber Liability at Nationwide. “We are in an age where our car is a giant computer, and we can turn on our air conditioners with our phones. Everyone holds data. It’s everywhere.”

Phishing Out Fraud

According to Lee, phishing is on the rise as one of the most common forms of cyber attacks. What used to be easy to identify as fraudulent has become harder to distinguish. Gone are the days of the emails from the Nigerian prince, which have been replaced with much more sophisticated—and tricky—techniques that could extort millions.

“A typical phishing email is much more legitimate and plausible,” Lee said. “It could be an email appearing to be from human resources at annual benefits enrollment or it could be a seemingly authentic message from the CFO asking to release an invoice.”

According to Lee, the root of phishing is behavior and analytics. “Hackers can pick out so much from a person’s behavior, whether it’s a key word in an engagement survey or certain times when they are logging onto VPN.”

On the flip side, behavior also helps determine the best course of action to prevent phishing.

“When we send an exercise email to test how associates respond to phishing, we monitor who has clicked the first round, then a second round,” she said. “We look at repeat offenders and also determine if there is one exercise that is more susceptible. Once we understand that, we can take the right steps to make sure employees are trained to be more aware and recognize a potentially fraudulent email.”

Lee stressed that phishing can affect employees at all levels.

“When the exercise is sent out, we find that 20 percent of the opens are from employees at the executive level,” she said. “It’s just as important they are taking the right steps to ensure they are practicing what they are preaching.”

Locking Down Ransomware

Nationwide_SponsoredContent_1016Another hot hacking ploy is ransomware, a type of property-related cyber attack that prevents or limits users from accessing their system unless a ransom is paid. The average ransom request for a business is around $10,000. According to the FBI, there were 2,400 ransomware complaints in 2015, resulting in total estimated losses of more than $24 million. These threats are expected to increase by 300% this year alone.

“These events are happening, and businesses aren’t reporting them,” Lee said.

In the last five years, government entities saw the largest amount of ransomware attacks. Lee added that another popular target is hospitals.

After a recent cyber attack, a hospital in Los Angeles was without its crucial computer programs until it paid the hackers $17,000 to restore its systems.

Lee said there is beginning to be more industry-wide awareness around ransomware, and many healthcare organizations are starting to buy cyber insurance and are taking steps to safeguard their electronic files.

“A hospital holds an enormous amount of data, but there is so much more at stake than just the computer systems,” Lee said. “All their medical systems are technology-based. To lose those would be catastrophic.”

And though not all situations are life-or-death, Lee does emphasize that any kind of property loss could be crippling. “On a granular scale, you look at everything from your car to your security system. All data storage points could be controlled and compromised at some point.”

The Future of Cyber Liability

According to Lee, the Cyber product, which is still in its infancy, is poised to affect every line of business. She foresees underwriting offering more expertise in crime and becoming more segmented into areas of engineering, property, and automotive to address ongoing growing concerns.”

“Cyber coverage will become more than a one-dimensional product,” she said. “I see a large gap in coverage. Consistency is evolving, and as technology evolves, we are beginning to touch other lines. It’s no longer about if a breach will happen. It’s when.”

About Nationwide’s Cyber Solutions

Nationwide’s cyber liability coverage includes a service-based solution that helps mitigate losses. Whether it’s loss prevention resources, breach response and remediation expertise, or an experienced claim team, Nationwide’s comprehensive package of services will complement and enhance an organization’s cyber risk profile.

Nationwide currently offers up to $15 million in limits for Network Security, Data Privacy, Technology E&O, and First Party Business Interruption.

Nationwide_SponsoredContent_1016
Products underwritten by Nationwide Mutual Insurance Company and Affiliated Companies. Not all Nationwide affiliated companies are mutual companies, and not all Nationwide members are insured by a mutual company. Subject to underwriting guidelines, review, and approval. Products and discounts not available to all persons in all states. Home Office: One Nationwide Plaza, Columbus, OH. Nationwide, the Nationwide N and Eagle, and other marks displayed on this page are service marks of Nationwide Mutual Insurance Company, unless otherwise disclosed. © 2016 Nationwide Mutual Insurance Company.

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This article was produced by the R&I Brand Studio, a unit of the advertising department of Risk & Insurance, in collaboration with Nationwide. The editorial staff of Risk & Insurance had no role in its preparation.




Nationwide, a Fortune 100 company, is one of the largest and strongest diversified insurance and financial services organizations in the U.S. and is rated A+ by both A.M. Best and Standard & Poor’s.
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