Reddy Kancharla – How Can Safety Programs In The USA Help Contractors Save Insurance Costs

Insurance carriers in the USA view construction companies and other contracting businesses to be high-hazard in nature. Several workers in these sectors are regularly exposed to hazards and accidents like falling from rooftops, getting injured because of construction equipment, work with heavy machinery that can be dangerous, exposure to silica dust, asbestos, and electrocutions. When it comes to insurance claims related to the contractors and companies involved, it takes several years to work primarily because of indemnifications, allocating liability between different parties, and the intricacies of the specific contracts involved.

Reddy Kancharla is a well-known name in the civil engineering and construction industry in the USA. He is equipped with extensive knowledge of engineering principles, practices, theories, and practical solutions for problems currently faced in civil engineering and the construction industry in the USA.

Current scenario of the construction sector in the USA

He says that although the commercial insurance sector is currently in a tough cycle now and premiums are increasing for most of the coverages, one line that offsets the rising costs for some companies is worker’s compensation insurance. Construction firms and contracting businesses can secure favourable rates for worker’s compensation that can help them to mitigate the expenses of other lines of insurance they need commercially.

He recommends companies improve their worker’s profiles when it comes to risks by maintaining a safety program that is documented with proactive processes in place to assist employers in searching and fixing the hazards in the workplace before their workers are injured.

Benefits of safety programs for construction workers

He adds there are multiple advantages of keeping a documented program for safety in place. This leads to saving the costs of insurance to a large extent. These programs can also be a recruiting advantage for companies, especially when looking for skilled labor in an intensely competitive market. In addition to the above, a proper safety program will decrease injuries and the costs of claims. Equally important, these programs will lead to a more productive workforce with engaged workers resulting in lesser delays in construction projects and reducing working time.

OSHA has also estimated that the incorporation of illness and injury prevention safety programs will decrease injuries by at least 15% to 35% for those who presently do not have health and safety programs. Employers already having safety programs must review them often to ensure they are sufficiently protecting their workers and are properly documented. With this simple step, they can reduce their potential insurance costs to a great extent.

Reddy Kancharla sums up by saying that while implementing any new safety program or reviewing an existing one, employers are advised to consult the applicable OSHA and state-specific guidelines and standards for their workforce. He says 34 states have regulations and laws designed to encourage safety programs for workers, including 15 states with mandatory laws for some or all employees. These programs can conveniently fit within any company culture and budget.