Risk Resources Newsletter: Manage Insurance Costs with Safety Excellence

Acrisure Risk Resources professionals share how safety and compliance can improve profitability in this Newsletter.

A woman learns about how safety excellence can lower insurance costs

Manage Insurance Costs and Build Your Bottom Line with Safety Excellence

Safety and compliance are often seen as unavoidable costs that you must manage. However, they're more than just obligations; they can be powerful levers for transforming business performance and profitability.

This newsletter unpacks the profound return on investment (ROI) that safety excellence can offer. From managing insurance costs to fostering employee engagement and operational excellence, these strategies can help secure your operations and build a competitive advantage.

Discover how prioritizing safety can help protect and propel your business forward.

The ROI Starts with Your Insurance Cost

While insurance premiums often feel like fixed expenses, you may be able to manage these costs more than you realize. Insurers may provide incentives or other discounts for a demonstration of unwavering commitment to risk management and safety. By addressing risks proactively, you can help lower your risk profile, which may influence insurance costs over time.

Proactive safety measures and comprehensive risk management strategies can deliver many benefits:

Cost Savings: Fewer incidents can mean reduced claims, which can result in lower insurance premiums, freeing up resources for growth or employee retention levers like benefits.
Employee Engagement: A safe workplace can foster trust, respect, and morale. Employees who feel valued may be more focused and productive, leading to lower turnover rates and stronger overall performance.
Operational Excellence: Consistent safety practices can enhance discipline, reduce downtime, and improve quality and reliability, creating more stable and efficient operations.

Safety Is a Competitive Advantage

A robust safety record is more than just a statistic—it’s a testament to professionalism, care, and reliability. This can foster trust and loyalty, setting your business apart in the marketplace.

When a company prioritizes safety, it sends a clear message: "We care about people and strive for excellence." This commitment cannot only help to enhance your reputation but may also help build customer loyalty. Satisfied clients are more likely to stay—and to refer others.

Moreover, safety performance can be a critical factor in securing business. Many companies have stringent vendor safety criteria and will therefore scrutinize your safety performance. Maintaining a strong safety record is often a prerequisite for servicing these companies.

The Safety Excellence Takeaway

Investing in safety is a strategic business decision. From protecting lives to increasing profits, safety excellence can pay dividends in ways that spreadsheets can't always capture. Whether you're improving employee engagement, securing customer trust, achieving operational efficiencies, or building your bottom line, the ROI is undeniable.

Supercharge Your Business Performance

8 Proactive Strategies to Help Manage Insurance Costs and Boost Profitability

In today's competitive market, managing risk is critical to maximizing profitability. These eight strategies will help enhance your safety culture and promote improved business outcomes.

Adopt a Proactive Risk Management Strategy: Regularly assess risks and implement preventive measures. Businesses with a track record of managing risk may be able to reduce claim frequency and may be seen as a lower-risk profile by insurers.
Invest in Employee Training: Safety training can help reduce workplace incidents, which may lead to fewer claims and improved operational efficiency.
Leverage Data and Technology: Using tools like telematics, AI, and predictive analytics can help you identify hidden risks, correct behaviors, improve process, and provide data to demonstrate your risk management efforts to insurers.
Establish Clear Processes and Protocols: Clear, consistent processes for operations, safety and claims management help ensure consistency, making it easier to identify and address risks.
Foster a Culture of Continuous Improvement: Use close calls and incidents as opportunities to refine processes and training, demonstrating your commitment to reducing future risks.
Engage with a Trusted Risk Advisor: Advisors can provide tailored risk management strategies and help you access resources to address your unique challenges.
Conduct Outside Safety and Compliance Audits: Bringing in an outside perspective can help you identify risks or compliance gaps that may not be obvious internally. Catching these issues early can help you address them before they lead to costly claims or regulatory penalties.
Benchmark and Monitor KPIs: Track and communicate metrics such as incident rates and claim costs. These insights help you identify areas for improvement and showcase your progress to insurers. Let your employees know how their actions can favorably impact the company’s results.

Ready to Learn More?

Contact us today to explore how Acrisure can help your company improve safety or learn more about our business solutions now.

About the Author

Brian Fielkow, Acrisure Risk Resources

Brian Fielkow helps Acrisure clients grow their safety cultures and manage risk with his executive, operational, and safety leadership. Fielkow has published several books and articles, including Leading People Safely: How to Win on the Business Battlefield, co-authored with James T. Schultz.