Record Return! ABC Fund Distributes Over $7 Million Back to Members.
It’s been another exceptional year for members participating in the Associated Builders and Contractors of Michigan Self-Insured Workers’ Compensation Fund (ABC Fund). This year over 500 construction corporations will receive the largest return the Fund has ever made. The ABC Fund has been authorized by the State of Michigan Workers’ Compensation Agency to return $7,400,000 of profit back to its members. The return brings the total profits distributed to over $41.5 million, since the Fund’s inception in 1995.
Returns like these are no accident. The Fund Board of Trustees work hard on your behalf to ensure the members have a long-term cost effective program. The ABC Fund’s unique structure combined with its solid performance has helped reduce the members’ overall insurance cost. “Ordinarily an insurance company keeps the underwriting profits and investment income,” according to Ed Tannzini, Fund Chairman. “But in the case of the ABC Fund, the members earn it and receive it, not an insurance company.”
While the Fund’s structure is important, its great performance can be attributed to consistent underwriting guidelines to insure proper selection of new members, a strong focus on workplace safety, and aggressive claims management. The Fund also has numerous safety resources and loss control programs that are specific to the construction industry. Some of the Fund’s educational training focuses on creating a safety culture in the workplace by working with owners/supervisors on proper claims handling, accident investigations, return-to-work programs and making every employee accountable for safety on the job.
In addition to safety, workers’ compensation claims are managed aggressively with an emphasis on getting the injured employee back to work as soon as possible. While most claims are legitimate, Fund adjusters are on the look out for fraudulent claims and typically conduct a thorough investigation. Another method for controlling claim costs is the review conducted by the Fund Board of Trustees prior to any settlement offer. This claim settlement authority serves as another check and balance towards controlling workers’ compensation costs.
With a track record of returning an average of 38% of premium, the ABC Fund continues to outperform the competition, saving members substantial money on their workers’ compensation costs and working with members to improve upon their existing safety program.
Congratulations on another exceptional year! If you’re not currently a member, you’re missing out on the many benefits the ABC Fund has to offer. To be eligible, a business must serve in the construction industry as a contractor, subcontractor, or a supplier and must meet underwriting review based on loss history. Please contact RPS-Regency for more information or abcmifund.org.