Wednesday, July 29, 2009


Texas Mutual Insurance Company has begun distributing $75 million in workers’ compensation dividends. Approximately 38,000 business owners, representing 79 percent of the company’s policyholders, will receive a dividend as a reward for committing to workplace safety.

The amount of each qualifying policyholder’s dividend check is based largely on its premium size and loss ratio. Policyholders who prevent workplace accidents and control claim costs improve their chances of earning a dividend.

This year’s dividend announcement comes as the economy continues to suffer the worst slump since the Great Depression. Texas Mutual President Russ Oliver said that the company’s 11th consecutive dividend payout is a sign of its financial stability.

“We are not immune to the volatility in the markets,” stressed Oliver, “but we had a strong year in 2008. We wrote a record $768 million in premiums and, most importantly, retained 82 percent of our loyal customers. These dividends show that our policyholders are embracing our initiatives to prevent accidents and control costs.”

One of those initiatives is Texas Mutual’s workers’ compensation health care network. The company launched the network in 2006 to help injured workers get quality medical care, recover and return to productive employment.

The second annual network report card issued by the Texas Department of Insurance in October 2008 showed that medical costs on Texas Mutual’s in-network claims are 6 percent lower than non-network claims. Patients treated in the network return to work an average of 24 percent sooner than non-network patients.

No comments: