Posted on 08/12/2011, by Jeremy Edsall
Calculating the Cost of a Workers Compensation Claim on Your Business
OSHA has developed an interactive expert system, available on their website,
to assist employers in estimating the costs of occupational injuries and illnesses
and the impact on a company's profitability.
This system uses a company's profit margin, the AVERAGE costs of an injury
or illness, and an indirect cost multiplier to project the amount of sales a company
would need to generate in order to cover those costs. Businesses can use this
information to predict the direct and indirect impact of injuries and illnesses
and the estimated sales needed to compensate for these losses.