When someone is injured at your company, you are legally obligated to file a first report of injury (FROI). In Ohio, it must be filed within one year of the date of injury, occupational disease, or death.
For busy companies, many potential obstacles can prevent an FROI from being made on time. If there isn't a clear process or a point person in charge, reports can fall through the cracks. At other times, companies delay FROIs in the hope that the injury will not require care. From inadequate training to time-consuming manual processes, numerous factors can impede a timely FROI.
How a Delayed First Report of Injury Can Negatively Impact Your Business
Turning your FROI in on time is more than just a legal requirement: if your company forgets to submit it, that can lead to higher premiums, more expensive claims, operational disruptions, and claim disputes. Also, your workers form the backbone of your company, so you need to act quickly to prevent them from being sidelined for too long. Here are a few other consequences of delaying an FROI:
- Higher Claim Costs: Claims that take longer than two weeks to be submitted end up costing significantly more than those filed within the first fortnight. In many cases, timely FROIs enable workers to address medical conditions right away, rather than waiting for them to spiral out of control.
- Missed Deadlines: Under Ohio law, the FROI must be turned in within one year of the injury. If a manager is out and the initial filing is overlooked, it may never be picked up again.
- Increased Premiums: Organizations may be given higher experience modifiers for frequent or extremely delayed FROIs. The experience modifier reflects how risky your business is to insure, which is why higher modifiers lead to increased premiums.
- Difficult Claim Disputes: When you file the FROI on time, it's easy to gather witness statements from everyone present, collect medical records, or document what happened. When you delay, it is much more challenging to dispute claims because the evidence is more difficult to collect.
- Extended Employee Absences: You need skilled workers to keep your company functioning properly. If employees delay getting medical care, the injury may worsen and require more time to heal.
- Increased Operational Disruption: If employees are absent or require more intensive medical care, it can disrupt business operations. Failing to address medical problems promptly increases the likelihood of complications and prolonged absences.
- Worse Brand Reputation: The average B2B company spends 2% to 5% of its gross revenue on marketing. At a B2C company, this figure jumps to between 5% and 10%. All of these marketing investments are wasted if word gets out that your company doesn't support injured workers. Timely FROI filing protects your brand reputation.
- Decreased Employee Loyalty and Trust: When an employee is not treated and cared for after a workplace injury, it decreases employee loyalty and trust. The perception of a poor safety culture can also impact the likelihood that future workers decide to apply to your company.
Why Businesses Submit FROIs Late
Most businesses don't intentionally submit their FROIs late. One or more of the following situations is typically the underlying reason that reports aren't filed on time:
- Lack of Awareness: At certain companies, employees and managers may be unaware of this duty. Many workers are only familiar with FROIs if they have previously used them. Better training can help increase awareness about the importance of reporting injuries.
- Potential Retaliation: In some instances, FROIs aren't filed because the employee is concerned about retaliation. If bonuses or punishments are tied to workplace injuries, workers may be discouraged from reporting their injuries in a timely way.
- Downplayed Injuries: Sometimes, the employee doesn't believe that the injury is serious enough to report at first. However, they may eventually feel compelled to report the injury if it worsens.
- Administrative Burden: Complex administrative processes often hold up FROI processing. The paperwork has to pass through different hands, so it can end up stuck in someone's inbox or misplaced. If the employee in charge of processing reports is on vacation or out sick, the report can easily get lost in the shuffle.
- Intentional Delays: In certain cases, businesses or managers intentionally delay the report in the hope that the injury resolves on its own and won’t need to be reported. In addition to being against the law, this approach runs the risk of higher medical costs, increased premiums, and additional penalties.
How a Third-Party Administrator Can Help With Managing FROIs
By partnering with Compensation Solutions, Inc. (CSI), you can get support with cost-containment and risk-management strategies. As the primary point of contact, the third-party administrator (TPA) handles all communication and coordination between the employee, the employer, and the medical provider. With their help, you will receive timely, accurate claim-filing support. You won't have to worry about forgotten or delayed claims because an experienced administrator will handle them for you.
Throughout the process, you will receive continued claim monitoring support. The TPA will handle investigating the claim, documenting evidence, ensuring regulatory compliance, and determining the coverage. TPAs like CSI have specialized training and software tools so reports are completed and submitted properly.
They can also provide return-to-work support for your employee. Return-to-work programs can enhance your experience modifiers, decrease turnover rates, and reduce the amount of time that employees need to take off from work. By getting workers engaged and back at their jobs, you can also decrease the likelihood of disputes and fraudulent claims.
Avoid Having a Delayed First Report of Injury
While businesses should always strive to avoid injuries, it's impossible to prevent every accident from happening. When an injury does occur, submit the FROI right away.
The CSI team understands the needs of each industry. Each business is assigned a dedicated consultant, ensuring a single point of contact who manages the entire process.
Workplace safety and workers’ compensation are closely linked. Ohio manufacturing businesses can reduce workers’ compensation claims and premium costs by prioritizing proactive EHS strategies and injury prevention. It’s time to bridge the gap between safety and savings. Protect your workforce and reduce your costs. Discover how CSI can help you lower your workers’ compensation expenses.