Agent News

Angle Q1 2018

3CU Pre-Loss Claims Consultations Drive Better Outcomes

We are driven to provide the best possible claims and loss control outcomes for our customers. It’s the cornerstone of our business and the reason we offer value-added services like our pre-loss claims consultation. These consultations identify critical issues and circumstances that can lead to higher claim costs. Our claims team works with both customers and broker leadership teams to implement strategies that proactively control claims costs. Our industry-leading approach provides injured workers with timely, quality medical treatment, return to work opportunities, litigation mitigation, and prompt reporting and accountability tools to deter fraud.

While a thorough pre-loss inspection considers many factors, these are some of the most critical components.

Prompt Claim Reporting
Our consultations provide customers with the tools and resources necessary to attain prompt employee reporting of injuries and accidents. This allows us to begin controlling employer costs immediately. Claims reported within two weeks of an incident were 18% more expensive than those reported within one week. Claims reported in five weeks were up to 45% more expensive.
Deliverable: Encourage and help establish management accountability programs and proper claims reporting expectations, processes and training.

Return to Work
A solid return to work program is one of the most effective steps in reducing experience modification factors and insurance rates. Consistent execution of a well-run return to work program statistically lowers unnecessary medical consumption and shortens overall claim durations. It also deters fraud and litigation. These benefits are maximized when coupled with prompt reporting and delivery of best-in-class medical care.
Deliverable: Help customers identify return to work opportunities through development of job descriptions. These descriptions identify essential functions and physical demands of a position for use in hiring and when identifying production tasks for a restricted employee. We also help develop employee accountability and alternative work assignments, where employers can donate restricted employees’ time to a local charity.

Medical Management
Driving employees to best-in-class occupational and specialty physicians means best-in-class outcomes for injured workers and customers. Where not prohibited by law, we employ our proprietary program for finding top-performing doctors, ensuring injured workers get close, quality initial treatment. Delivering prompt, quality health care leads to successful outcomes for everyone involved.

Deliverable: Assist customers in identifying occupational physicians who deliver prompt and appropriate health care, which ultimately shortens claim duration.   

Our expert staff know a red flag when they see one, and they know the circumstances that enable fraud. We have a wealth of preemptive solutions that deter individuals from pursuing a false claim. When a suspicious claim does appear, these pre-loss efforts create evidence to determine whether fraud has occurred and that we can prove it, should we need to litigate the matter. Our highly experienced claims staff can quickly identify red flags and diligently execute post-loss claims handling practices to protect an employer from suspect claims.
Deliverable: Educate employers on situations where fraud is likely and in regard to deterring fraudulent attempts. (e.g., a strong new hire orientation process, pre-employment physicals, supervisor accident investigation and accountability programs, a daily safety sign-out program, etc.)

Contact your 3CU business development consultant to learn more about our pre-loss consultations and the many ways we prioritize partnership.

New Video: The 3CU Claims Difference

Visit our website for the first look at a new video highlighting the 3CU claims difference.  It’s the first of a four-part video series that helps explain our claims approach — from policy inception to claims difficulties and resolution.

Find more videos at

AF Group Annual Report

2017 was another very successful year for 3CU and the AF Group enterprise. In fact, it was one of the most successful years in our history. To learn how the enterprise and each of our brands performed, we encourage you to review the 2017 Annual Report.

You have played a significant role in helping us achieve our ongoing success — and we are appreciative of your efforts. We look forward to your continued partnership as we plan for greater achievements in 2018.

What We Write

At Third Coast Underwriters (3CU), our customers are our top priority. Because we specialize in addressing complex operations and challenging exposures, we know the importance of developing unique workers’ compensation solutions. The list below illustrates the varied mix of accounts we have written recently within our core segments. Let us help you deliver successful outcomes for your customers today. For more information, visit, email or call 866-641-2328.


  • Farm: Cattle or Livestock Raising NOC & Drivers – $754,700 – $773,500
  • Farm: Dairy & Drivers – $307,300
  • Farm: Florist and Drivers – $161,300
  • Farm Machinery Operation – By Contractor & Drivers – $512,000
  • Farm: Orchard & Drivers – $342,600
  • Farm: Poultry or Egg Producer & Drivers – $424,200
  • Farm-raising, Harvesting & Preparing for Market – $765,800
  • Hay, Grain, Feed or Fertilizer – Dealers, Local Managers & Drivers – $159,000 – $172,300
  • Machinery Dealer NOC – Store or Yard & Drivers – $782,000
  • Oil Manufacturing: Vegetable – Solvent Extraction Process – $193,700
  • Sawmill – $1,997,900
  • Seed Merchant – $225,300
  • Spirituous Liquor Distillery – $325,600
  • Store Meat, Fish or Poultry Dealer – $926,800
  • Tree Pruning, Spraying, Repairing, Trimming or Fumigating & Drivers – $228,400


  • Automatic Sprinkler Repair Installation & Drivers – $176,100 – $188,100
  • Buildings – Operation by Contractors – $342,500
  • Carpentry – Installation of Cabinet Work or Interior Trim – $195,200 – $272,600
  • Conduit Construction – $242,400
  • Concrete Construction – $1,154,600
  • Concrete or Cement Work – $150,500 – $444,000
  • Contractor – Executive Supervisor or Construction Superintendent – $298,000
  • Electrical Wiring – Within Buildings & Drivers – $155,800 – $259,000
  • Excavation & Drivers – $193,900 – $1,098,800
  • Gas Main or Connection Construction & Drivers – $228,700
  • HVAC & Refrigeration – $202,400
  • Iron or Steel Erection – $165,300 – $1,214,000
  • Linoleum, Carpet, Vinyl, Asphalt or Rubber Floor Tile – $226,900
  • Machinery Dealer NOC Store or Yard & Drivers – $252,200
  • Machinery or Equipment Erection or Repair – $197,800 – $321,700
  • Machine Shop NOC – $305,500
  • Masonry –  $284,200 – $411,900
  • Painting or Paperhanging – $197,800
  • Park Noc – All Employees & Drivers – $477,600 – $695,400
  • Plumbing –  $167,500 – $345,900
  • Roofing – All Kinds & Drivers – $477,409 – $489,900
  • Sheet Metal Work – Installation & Drivers – $158,600 – $198,400
  • Sign Installation, Maintenance, Repair or Removal & Drivers – $268,200
  • Stone Crushing & Drivers – $355,300
  • Street Cleaning & Drivers – $262,000
  • Street or Road Construction – $167,500 – $811,400
  • Wallboard Installation Within Buildings & Drivers – $533,000 – $858,800


  • Construction or Agricultural Machinery Manufacturing – $258,600
  • Rubber Tire Dealers – $1,495,200
  • Scrap Dealer & Drivers – $165,600 – $724,300


  • Oil or Gas Lease Work – By Contractor & Drivers – $357,100
  • Oil or Gas Well – Cementing & Drivers – $166,400
  • Oil or Gas Well – Instrument Logging or Survey Work & Drivers – $206,600
  • Oil Still Erection or Repair – $272,600
  • Painting or Paperhanging Noc & Shop Operations – $295,200
  • Trucking – Employees & Drivers – $288,300


  • Boilermaking – $391,000
  • HVAC and Refrigeration Systems – Installation & Service – $880,400
  • Store: Wholesale Noc – $2,312,100


  • Automobile Towing – $305,700 – $460,600
  • Beer or Ale Dealer – $1,580,700
  • Bus Company – All Other Employees & Drivers – $150,800 – $212,500
  • Gasoline Dealer & Drivers – $436,700
  • Lumberyard: New Materials Only – All Other Employees & Yard, Warehouse – $343,000
  • Storage Warehouse – Furniture & Drivers – $190,000
  • Store – Wholesale Noc – $199,700
  • Trucking – Long Distance Hauling – $165,800 – $1,96,400
  • Trucking – $164,000 – $1,689,100
Legislative Update


Positive workers’ compensation drug formulary legislation (SB 369) has passed both the Senate and House and we anticipate the governor will sign the bill in the near future. This formulary will protect workers by addressing  the appropriate utilization of all FDA approved medications and limit compound medications within the workers’ compensation system.  Except during a medical emergency, the bill prohibits workers’ compensation and occupational disease compensation reimbursement for drugs not specified in the ODG Workers’ Compensation Drug Formulary. Limits opioid utilization and reinforces existing law that prohibits first time opioid prescriptions to no more than seven days worth of drugs.  Injuries on or after July 1, 2018 have to follow new formulary by Jan. 1, 2019 — Injuries that occurred prior to July 1, 2018 have to follow formulary and transferring off of all N drugs by Jan. 1, 2020.


Negative impacting workers’ compensation bills have been introduced in Illinois. Both bills are renewed efforts by the democratic majority to prohibit carrier profits, restrict rates and create a state fund with $11M transfer from the Illinois Work Comp Commission.  Working with our consulting network, we’ll oppose these initiatives as they receive attention within the political process. Although these bills (HB 4432 & HB 4595) could eventually pass both the House and Senate, we feel confident Republican Governor Bruce Rauner would veto the initiative.


The California Department of Insurance (CDI) is currently drafting regulations aimed at creating insurer criteria for writing large deductible policies with a goal of avoiding solvency issues.  CDI stated they are basing the draft proposal off National Association of Insurance Carriers research and initial high-level discussions with individual insurers.  As initially drafted, the proposal requires a carrier to have surplus of $500M and an A.M. Best rating of “A.” If enacted, this regulation would eliminate nearly 50% of the state’s top 25 work comp carriers’ ability to write large deductible business in California.

CDI plans to release draft regulations in March and will schedule public discussions with industry prior to the formal rule making process. AF Group will ensure our voice is heard in coordination with our national lobbying partners. We will keep you updated on any developments.


The 2018 Work Comp Agreed Bill is likely 99% dead for the year. There was an attempt again this year to include a workers’ compensation medical fee schedule, which yet again, turned out to be a non-starter. The bill never got out of the initial review committee in Madison. 2019 not being a major election year statewide in Wisconsin, may possibly increase the likelihood of a proposal becoming finalized. AF Group will remain engaged throughout the process.