What is a workers’ comp loss ratio—and why should you care?

If you’re a business owner or HR leader, you probably focus on keeping employees safe and managing your workers’ comp premium. But there’s a number behind the scenes that plays a big role in how much you pay—your loss ratio.

When it comes to buying workers’ comp insurance, most business owners focus on one thing: price.

Time is critical when reporting a work-related injury—especially for frontline workers who are the backbone of a company. When these essential employees are sidelined, productivity suffers, and workers’ compensation costs rise. Delayed reporting can increase claim costs by up to 51% according to NCCI research and lead to longer recovery times, legal complications, and compliance risks.